The Speculation and Vacancy Tax (the “Speculation Tax”) became law in November 2018 and is applicable for 2018 and subsequent years. The B.C. government recently advised that between January 18, 2019 and February 28, 2019, owners of residential property located in areas subject to the Speculation Tax will receive a letter and related instructions for how to complete a declaration and register for an exemption (the “Declaration”). If the residential property has more than one owner, each owner must make a Declaration - for example, if Mr. A and Mrs. A jointly own a home in an affected area, each of Mr. A and Mrs. A must make a Declaration in respect of their ownership of the home. Declarations can be done either by telephone or online.
The deadline to make a Declaration is March 31, 2019. Residential property owners who do not complete the Declaration on or before March 31, 2019 will be assessed the Speculation Tax, which is 0.5 percent of the residential property’s assessed value. Any Speculation Tax payable is due on or before July 2, 2019.
If you own a residential property in an affected area and you do not receive a Declaration by February 28, 2019, you can contact the B.C. government’s Speculation Tax call centre at 1.833.554.2323 or 604.660.2421.