More Than 99% Of B.C. Homeowners Remain Exempt From Paying Speculation And Vacancy Tax

For the fifth year, more than 99% of homeowners in British Columbia remain exempt from paying the speculation and vacancy tax, according to 2022 data released as part of the Province’s consultation with mayors about the tax.

“Across the country, the housing crisis is hurting people and communities. The speculation and vacancy tax is supporting more homes for people, so they can live where they work and where their children go to school,” said Katrine Conroy, Minister of Finance.

“While some would cancel the speculation tax – giving a handout to speculators and turning homes back into empty condos – we know that people can’t afford that.”

Principal residences and those occupied by a tenant remained the top two exemptions claimed by property owners in 2022.

Compared to 2021, these two exemption claims have grown by more than 30,000; the province suggesting that the tax continues to change homeowners’ behaviour and increase long-term housing.

More than $81 million was raised in 2022 through the tax to go back into affordable housing in areas where homeowners are subject to the tax.

The majority of the tax was paid by non-B.C. residents, including foreign owners and people who don’t pay the majority of their taxes in Canada, for a total of $68 million.

In fiscal year 2022-23, the province says it invested more than $1.3 billion in housing initiatives in regions where speculation-and-vacancy-tax communities are located.

The 2022 data covers 40 communities where the tax applies.

Starting in 2025, 13 additional communities will be required to declare based on how they used their properties in 2024, including Courtenay, Comox, Cumberland, Parksville, and Qualicum Beach. (Also Vernon, Coldstream, Penticton, Summerland, Lake Country, Peachland, Salmon Arm and Kamloops)

To see the full release, visit Government of British Columbia.