Finally, there is some clarity. Buyers should have their REALTOR verify if the property they purchase maybe subject to this tax. BC Government website info:
Speculation and Vacancy Tax
The speculation and vacancy 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 tax is a part of the B.C. government’s 30-Point Plan to address the housing crisis and help make life more affordable for people.
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
The tax will be levied on owners who own the property on December 31 of each taxation year.
By levying the highest tax rate on foreign owners and satellite families, the tax ensures those with limited social and economic ties to the province pay the largest share.
For more info contact Vida Glaser REALTOR (250)743-0043