British Columbia strata corporations are governed by the Strata Property Act and the Strata Property Regulation. Condo Audit Pro handles BC engagements in strata terms — operating fund and contingency reserve fund, depreciation reports, and the financial statement that must accompany the AGM notice.
British Columbia is the most prescriptive of the three provinces about what a strata financial statement must actually contain. The provisions below sit in the Strata Property Act and its Regulation — these are the provisions that shape the file.
Section 92 requires every strata corporation to maintain an operating fund and a contingency reserve fund. CRF money must be accounted for separately, and section 96 restricts what it can be spent on — owner approval is needed unless the expenditure is an emergency repair or an insurance deductible that is a common expense.
Effective 1 November 2023, strata corporations and sections must contribute a minimum of 10% of annual operating fund contributions to the contingency reserve fund each year — a figure that now appears directly in the budget and the audit file.
Section 103 requires a budget approved by majority vote at each AGM, distributed with the AGM notice and accompanied by a financial statement. Regulation 6.7 prescribes exactly what that statement must contain, as of a day within the two months before the AGM.
Section 94 requires a depreciation report from a qualified person, estimating repair and replacement cost for major items and their expected life. Under section 94.1 an electrical planning report is now required as well, on dates set by regulation.
Both the operating fund and the contingency reserve fund, opening and current, presented separately.
Every source of income except special levies, itemized.
Detailed, including any unapproved expenditures under section 98.
Detailed, including any unapproved expenditures under section 98.
Income and expenditures by special levy under section 108, shown separately.
A temporary CRF loan to the operating fund must be repaid by the end of the fiscal year, and owners informed — so it is tracked and disclosed rather than buried.
| Governing legislation | Strata Property Act, SBC 1998, c. 43 |
| Regulation | Strata Property Regulation, BC Reg 43/2000 |
| Entity | Strata corporation (and sections) |
| Governance body | Strata council |
| Operating fund | Operating fund |
| Long-term fund | Contingency reserve fund (CRF) |
| Minimum CRF contribution | 10% of annual operating fund contributions, from 1 Nov 2023 |
| Study | Depreciation report — plus an electrical planning report |
| Unit | Strata lot |
Province templates define the legal and reporting structure. Firm settings define how each CPA firm wants to run the audit — materiality, sampling rules, variance thresholds, cutoff windows, matching tolerances, and more — applied consistently while professional judgment stays with the CPA. See the other provinces or how it works.
The questions BC strata councils and property managers ask most. Provided as background for how the platform is configured — the licensed CPA firm remains responsible for the requirements on any given engagement.
The Strata Property Act does not impose an audit requirement on strata corporations — the decision sits with each strata, through its bylaws or a vote at a general meeting. Many stratas are audited every year anyway, for lender requirements, buyer confidence, or owner assurance at the AGM. When one is called for, see what a strata audit needs.
Effective 1 November 2023, strata corporations and sections must contribute a minimum of 10% of annual operating fund contributions to the contingency reserve fund each year — see the Province of BC’s CRF guidance. The figure now appears directly in the budget and the audit file, and it’s one the platform’s checks compare automatically.
Section 94 of the Strata Property Act requires a depreciation report from a qualified person, estimating repair and replacement cost for major items and their expected life, on the timing set by regulation. Under section 94.1 an electrical planning report is now required as well. Both feed the reserve review in the audit file.
Regulation 6.7 prescribes the contents: opening and current balances of both funds, income from all sources except special levies, detailed operating and CRF expenditures, and special levy income and expenditures shown separately — as of a day within the two months before the AGM.
We’ll walk your firm through a real BC strata audit, end to end.
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