Speculation & Vacancy Tax

Oct. 19, 2018 | In The News | By The Rossetti Team

[Pictured: 951 Beachview Drive - See more here]

Speculation & Vacancy Tax Act

Eight months after it was announced in the 2018 BC Budget, the Government tabled the Speculation & Vacancy Tax Act. The tax 'is designed to prevent housing speculation and help turn vacant and underutilized properties into homes for people who live and work in B.C.'

The speculation tax will apply to those who own multiple properties in taxable regions (taxable regions include: Metro Vancouver, the Capital Regional District [excluding the Gulf Islands and the Strait of Juan de Fuca], Kelowna, West Kelowna, Nanaimo-Lantzville, Abbotsford, Chilliwack and Mission).

Property owners will be required to complete an annual declaration.

Exemptions will apply for: principal residences, properties rented (at least 3 months of the year in 2018, 6 months of the year in 2019), spousal seperation, death, and more. For a full list of exemptions, click here

Tax Rates:

For 2018, the tax will be levied at:

  • 0.5% of the property’s assessed value for all properties subject to the tax

For 2019 and subsequent years, the tax will be levied at:

  • 2% for foreign owners and satellite families
  • 0.5% for British Columbians and other Canadian* citizens or permanent residents who are not members of a satellite family

 

For a full list of the tax rates and applicable exemptions visit the Government's site at the link below.  

 


Speculation & Vacancy Tax | gov.bc.ca