Changes with Speculation Tax in BC

Kim PhillipsReal Estate, Uncategorized

Attention!

All homeowners in B.C.’s largest urban centres (all homes in Greater Victoria, Nanaimo, Kelowna and Metro Vancouver (excluding Bowen Island and Lions Bay, but including Abbotsford, Mission and Chilliwack) will need to apply for exemptions from the province’s new speculation tax or receive a bill, whether they are speculators or not, the government announced January 15th.

This new annual tax is designed to:

  • Target foreign and domestic speculators who own residences in B.C. but don’t pay taxes here
  • Turn empty homes into good housing for people
  • Raise revenue that will directly support affordable housing

All owners of residential property in the designated taxable regions of B.C. must complete an annual declaration. Over 99% of British Columbians are estimated to be exempt from the tax.

It will be up to all homeowners to apply for exemptions, with a deadline of March 31 – and it’s easy to do, either by phone or online. The information you’ll need to register your property declaration will be mailed by mid-February to all owners of residential property within the taxable regions. Those who don’t apply, or qualify, will be sent tax bills due to be paid by July 2. The opt-out process will become an annual event for property owners under the new speculation tax rules. People who pay mistakenly can get a rebate within six years, according to the ministry.

For more information, click the links below:

https://www2.gov.bc.ca/gov/content/taxes/property-taxes/speculation-and-vacancy-tax/exemptions-speculation-and-vacancy-tax/individuals

https://www2.gov.bc.ca/gov/content/taxes/property-taxes/speculation-and-vacancy-tax

Tenancy Requirements for Speculation and Vacancy Tax Exemptions – https://www2.gov.bc.ca/gov/content/taxes/property-taxes/speculation-and-vacancy-tax/exemptions-speculation-and-vacancy-tax/individuals/tenancy-requirements