If the fair market value is $200,000 or less, the tax is 1% of the fair market value

If the fair market value is greater than $200,000, the tax is 1% of the fair market value up to $200,000, plus 2% on the portion of the fair market value that is greater than $200,000

For example:

If fair market value of property is $150,000
tax payable is: 1% of $150,000 = $1,500

If fair market value of property is $250,000
tax payable is: 1% of $200,000 = $2,000
plus 2% of $50,000 = $1,000
for total tax payable of $3,000

For registrations on, or after, February 20 2008, the fair market value threshold for eligible residential property is $425,000.