B.C. speculation and vacancy tax declarations due end of March

Many B.C. homeowners either have or will be receiving speculation and vacancy tax declaration reminders over the next month.

The province is reminding affected owners they’ll have to make a declaration before March 31, if they have property in areas where the tax applies.

The Government of B.C. describes the speculation and vacancy tax as “an annual tax based on how owners use residential properties in areas in B.C.” The goal of the tax is to “fight real estate speculation and deliver more homes to people.”

It explains most owners who use their property as their main home or who rent their unit out for at least six months do not have to pay a tax — but they do still have to declare. The province says more than 99 per cent of residents are exempt from the tax.

Those who are not exempt have to pay an assessed amount by July 1, with potential penalties for people who miss that date.

This comes amid an ongoing housing crisis in B.C., with the province hoping these measures will make housing more affordable.

“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,” Minister of Finance Katherine Conroy, said.

These measures target mainly empty homes. They are further meant to discourage people from using the housing market as a means of making profit.

The B.C. government says the speculation and vacancy tax applies in 59 communities across the province, including 13 new ones.

“In addition, residential property owners in North Cowichan, Lake Cowichan, Duncan, Ladysmith, Lions Bay and Squamish are set for tax declarations which are due before March 31 of this year,” the province explains.

The government says it raised more than $81 million through the tax in 2022.