Carole James unmoved by B.C. speculation tax concerns

Speculation tax triggered local ‘recession,’ B.C. mayors say

Mayors of B.C. communities affected by the NDP government’s pending “speculation tax” on second homes got the support of delegates of their counterparts province-wide Wednesday, and urged Premier John Horgan to make affordable housing measures a local decision.

Mayors of Langford, Kelowna, West Kelowna, Radium Hot Springs and Parksville held a news conference outside the Union of B.C. Municipalities convention in Whistler to drive home the point that they are seeing unintended and negative consequences from the tax, due to take effect next year.

West Kelowna Mayor Doug Findlater said the prospect of the tax has caused “a bit of a recession” in his community. Single-family home starts are down 40 per cent since the tax was announced in February, and multi-family development proposals are off 45 per cent since the tax targeted vacant properties, he said.

Radium Hot Springs Mayor Clara Reinhardt said the announcement had an immediate effect on her resort community near the Alberta border, with housing developments cancelled.

Finance Minister Carole James confirmed after the vote that the speculation tax is going ahead in its amended form.

James rolled back the extent of the tax in March after protests from vacation homeowners, exempting the Gulf Islands, Parksville, Qualicum Beach, the Juan de Fuca region in Premier John Horgan’s constituency and rural areas of the Fraser Valley and Central Okanagan.

It applies to Metro Vancouver, Greater Victoria and the municipalities of Nanaimo, Lantzville, Abbotsford, Chilliwack, Mission, Kelowna and West Kelowna. It is to take effect based on 2018 assessed property values, at 0.5 per cent for B.C. residents and two per cent for foreign owners and “satellite families” who don’t pay income tax in B.C.

B.C. Liberal leader Andrew Wilkinson noted that the resolution to dump the tax had overwhelming support from local politicians at the UBCM convention. Kelowna Mayor Colin Basran endorsed Wilkinson’s argument that the tax doesn’t target speculation.

In May, Wilkinson proposed his own version of the tax, targeting capital gains of people who flip condominiums for a quick profit.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

More funding for Harrison tourism projects on the horizon

Village could see increased funding by 2020

Most cows saved during massive fire on Agassiz farm thanks to fast work of farmers, neighbours

Agassiz Fire Department responded to late night call Wednesday

Risk of thunderstorm this afternoon for Vancouver Island and Lower Mainland

A special weather statement calls for heavy rain and wind over the next 48 hours

Massive fire destroys Agassiz dairy barn

Reports say at least one cow died in the blaze

Chilliwack firefighter seeking to reunite Rosedale VFD’s old auxiliary fire pump with antique engine

It’s been four decades, but Pat Liebault is hoping to reunite Rosedale’s auxiliary pump and engine

Conservation officer frees B.C. deer from flotation gear mishap

BC Conservation Officer Service is reminding residents to keep backyards clear of entanglements

Lions earn stunning 35-32 OT win over Ticats

Epic comeback lifts B.C. past Hamilton in CFL thriller

Czarnik nets 3 as Flames dump Canucks 5-2

Calgary picks up exhibition win over Vancouver

Ottawa to name new ambassador for women, peace and security, Freeland says

Chrystia Freeland also confirmed Canada would spend about $25 million to fund number of initiatives

‘A little bright spot:’ Ottawa residents rescue dog trapped beneath rubble

Freelance journalist says rescue of a dog trapped under rubble was happy ending amid chaos in Ottawa

B.C. deaf community wants different sign languages on federal accessibility act

Advocates also want Indigenous Sign Language to be recognized on the Indigenous Language Act

Remainder of Vancouver Whitecaps season filled with ‘must-win’ games: coach

With Vancouver currently sitting four points out of a post-season spot, each contest is crucial

VIDEO: B.C.-born firefighter remembered by MP in emotional speech

Family asks first responders to look after one another in wake of suicide, growing concerns of PTSD

Airline has ‘close call’ with drone while en route to B.C. airport

Jazz Aviation reported the drone sighting near Vancouver to the RCMP and Transport Canada

Most Read