Finance Minister Carole James’ announced Monday that B.C.’s speculation tax is being restricted to urban areas – exempting the village of Harrison from the tax.
Some Fraser Valley homeowners will be still be impacted, including those in Mission, Abbotsford and Chilliwack.
The Gulf Islands, the Juan de Fuca region, Parksville and Qualicum Beach are being exempted but the municipalities of Nanaimo, Lantzville, Abbotsford, Chilliwack and Mission will still be included, as are Metro Vancouver, Greater Victoria and the cities of Kelowna and West Kelowna.
Harrison Hot Springs mayor Leo Facio had sent a letter to B.C. Premier John Horgan last week, expressing his concern about the tax – which would have impacted 50 per cent of the Village’s residential tax base.
“We are very concerned about the negative effect this may have on our local tourism economy,” he wrote. “Tourism helps attract visitors to our region from within and without B.C. and many of those people choose our community for a seasonal vacation home, whether that be a house, a condo or a recreational site.”
The speculation tax, designed to combat a provincial housing shortage, is targeted at Canadians whose primary residence is outside B.C. and have a B.C. property occupied less than six months a year.