Vancouver and BC Taxes Guide from 2018 Budget


Monday, April 9th, 2018

New Taxes From BC Budget 2018 ? Updated April 2, 2018

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Speculation Tax – A new tax on Foreign speculators that will apply in Metro Vancouver, Fraser Valley, Capitol and Nanaimo Regional Districts and Municipality of Kelowna and West Kelowna
Starting this year 2018 (date to be announced) the provincial government will apply a 0.5 per cent ($500/$100K of property value) speculation tax of assessed value on homes owned by people who don’t pay taxes in British Columbia. The tax goes up to 2 per cent in 2019 ($2,000/$100K of property value) and will stay at that rate going forward. Exemptions are British Columbians who own 2nd vacation properties in rural areas such as the Gulf Islands and Cultus Lake. Other exempted vacation and retirement hot spots incl Parksville, Qualicum Beach, Nanoose Bay, all the Gulf Islands, Kent, Hope, Harrison Hot Springs, Bowen Island and Cultus Lake. Whats left is a speculation tax that will apply to Metro Vancouver (incl Village of Lions Bay) the Capitol Regional District (minus Gulf Islands & Juan De Fuca) Naniamo/Lantsville, West Kelowna & Kelowna.Over 99% of British Columbians will not pay the tax, Only those who hold multiple properties and leave them empty will be asked to contribute. It is expected to bring in $87 million this year. The tax will target foreign and domestic speculators who don’t pay taxes in BC including those who leave their units sitting vacant. This will include satellite families.

Foreign Buyers Tax going up to 20% for all Properties effective Feb 21, 2018

Starting Wednesday Feb 21, 2018, the foreign home buyers tax is going up from 15 per cent to 20 per cent. Not only will the tax be applied to homes in Metro Vancouver, but will now apply in the Capital Regional District, the Fraser Valley, the Central Okanagan and the Nanaimo Regional District.

City of Vancouver “Vacancy Tax”
The City of Vancouver has implemented an annual tax on empty or under-utilized residential properties called the “Empty Homes Tax”. To address Vancouver’s housing crisis, every owner of residential property in Vancouver is required to submit a property status declaration each year to determine if their property is subject to the Empty Homes Tax. Failure to declare by the deadline of Feb 4th of each year will result in your property being deemed vacant and subject to a tax of 1% of its assessed taxable value and a $250 penalty. This unpaid tax will be added to your tax bill on Dec 31.The tax will be due by April 16 the following year. Most homes will not be subject to the tax, as it does not apply to principal residences or homes rented for at least six months of the year; however, all homeowners are required to submit a declaration. The Empty Homes Tax is also known as the Vacancy Tax and is imposed under the Vacancy Tax Bylaw No. 11674.


Link to Video
https://globalnews.ca/video/rd/1166180931795/
Article Link
https://globalnews.ca/news/4052244/bc-housing-taxes-3-million-vancouver-map/

Budget Link

https://globalnews.ca/video/rd/1165910083672/

Home Tax
http://vancouver.ca/home-property-development/empty-homes-tax-frequently-asked-questions.aspx

Speculation tax takes abrupt turn

 



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