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

Teens youngest members in Fernie SAR history

Desire to help drives Ben Nixon and Josh Goodison to volunteer

Bear sightings prompt call for community action

Elk Valley and South Country residents have been urged to take responsibility… Continue reading

Decision opens door to short-term rentals

The City of Fernie has opened the door to the short-term rental… Continue reading

Fernie businesses go green

Instead of asking if customers need a bag, cashiers will ask if they’re okay without one.

Failing to stop at watercraft inspection station will result in $345 fine

CO Service reminding boaters it is mandatory to stop at watercraft inspection stations

Vancouver Island girl scores with winning song for BC Summer Games

‘Colours’ is a perfect theme for 2018 BC Summer Games

B.C. pipeline goes ahead despite scrapped Pacific Northwest LNG

NEB approves amendment for $1.4-billion natural gas North Montney Mainline Project

Update: Wildfire northwest of Kamloops jumps from 60 to 800 hectares

Ground crews and aircraft are responding to an estimated 50 hectare wildfire approximately 55 kilometers northwest of Kamloops, near the Deadman Vidette Road.

Feds limit chinook fishery to help killer whale recovery

Chinook is main food source for only 76 southern residents killer whales left

B.C. mom who died just before daughter’s wedding wanted family to be happy: twin

Ann Wittenberg was pulled into the ocean while on a surf board in Tofino last weekend

Courtenay-Alberni MP calls for lifeguards at popular surf spot near Tofino

The Pacific Rim National Park Reserve is defending its decision to cancel the surf guard program.

Harvey Weinstein to surrender in sex misconduct probe: officials

Would be first criminal charge against Weinstein since scores of women came forward

Second commercial acid spill in Kootenay city

Station 374 Trail was called to a Hazmat scene Wednesday night on Highway 3B

Kootenay village pot survey reveals a mixed bag

The majority of Warfield respondents were for cannabis sales, but with dispensary restrictions

Most Read