B.C. Finance Minister Carole James delivers her first full budget, Feb. 20, 2018. (Tom Fletcher/Black Press)

Carole James hints at changes to B.C. empty home tax

Out-of-province vacation homeowners aren’t speculators, some B.C. residents are

Two days after introducing Canada’s first “speculation tax” on empty homes, B.C. Finance Minister Carole James was emphatic. People who don’t pay income tax in B.C. but own a vacation home in high-demand areas of the province that isn’t available for long-term rental will pay the new tax.

Now, after hearing from people whose primary residence is in Alberta or another province with a vacation home in B.C., James is hinting that changes will be made.

“We’re targeting people who are speculating in the market, who are not contributing to the tax system in British Columbia,” James told reporters at the legislature Wednesday. “People who are using our housing market as a stock market.”

As originally announced in the B.C. budget Feb. 20, the speculation tax would be charged to out-of-province residents who inherited a family summer or ski cabin, if it is in Metro Vancouver, the Fraser Valley, Nanaimo or Capital Regional District, or the municipalities of Kelowna and West Kelowna.

It is to begin this fall at 0.5 per cent of property value, rising to two per cent later.

As announced in February, it would not be charged to someone who pays income tax in B.C. and owns multiple homes as investments, even if they are not offered for long-term rent and sit empty. James said Wednesday that is also being reconsidered.

“Remember, the tax notices don’t go out until late in the fall, so we have the time,” James said. “We wanted to introduce it as part of the February budget because people want to know what we’re moving on with affordable housing. The speculation tax was key to that.”

B.C. Liberal leader Andrew Wilkinson said the NDP government is “making up tax policy on the fly,” having second thoughts about applying the employer health tax to hospital and school payrolls, and considering exemptions for the speculation tax on secondary homes.

“What the NDP have done is called a speculation tax what is really an asset tax,” Wilkinson said. “What they want to do is slowly chip away at people’s equity in their homes. They’re saying for now it’s secondary homes, but not sure if its applying to foreigners only, not sure if it’s applying to Albertans.”

Just Posted

Trapped Vancouver Island crash survivor celebrates second chance at life

“Life is good now. It’s good to be alive.”

Baby, it’s nasty outside: wind and rain will continue across Vancouver Island

Police warn drivers and pedestrians to use precaution during expected rain and winds

Collective agreement met between UFCW 1518 and IGA

Membership voted strongly in favour of the collective agreement, which came days after negotiations.

Safety board issues letters over rail crash that killed three workers in Woss

The safety board conducted the investigation at the request of the Transportation Ministry

SD85’s spring break schedule may change to two-weeks but would overlap Easter

“This makes absolutely no sense to me,” Barrett stated in a letter to school trustees.

UPDATE: B.C. businesses evacuated due to emailed bomb threat, also received in U.S.

Penticton and Comox Valley businesses evacuated Thursday morning

Lions announce seven members of coaching staff not coming back for 2019

The operational moves come two days after the Lions announced DeVone Claybrooks as the team’s new head coach

Omar Khadr wants changes to bail conditions

‘My life is held in suspension’, says the former Guantanamo Bay detainee

VIDEO: Kitten rescued from under school bus in Duncan

School staff have affectionately called kitten “Axle”

$12K awarded to atheist family who oppose Christmas, Hanukkah in B.C. classroom

Gary Mangel,May Yasue said holidays, Remembrance Day and Valentine’s Day not appropriate in preschool

Coach accused of sexual assault says apology letter was misinterpreted

Dave Brubaker has pleaded not guilty to one count of sexual assault and one count of invitation to sexual touching

Give the gift of nature this holiday season

Please don’t be mad, but I bought you a moose

Aboriginal poet faces backlash for calling out NHL-themed totem poles

Rebecca Thomas says she received backlash for asking a drugstore chain to remove NHL merchandise

No plans yet for free WiFi on BC Transit buses

BC Transit says they are monitoring the roll-out of free WiFi on Translink vehicles

Most Read