We study the effects of CP violation on the nature of the chiral transition within the linear sigma model with two flavors of quarks. The finite-temperature effective potential containing contributions from nontrivial values for the parameter θ is computed to one loop order and their minima structure is analyzed. Motivated by the possibility of observing the formation of CP-odd domains in high-energy heavy ion collisions, we also investigate the behavior of the effective potential in the presence of a strong magnetic background. We find that the nature of the chiral transition is influenced by both θ and the magnetic field.