BC Housing

[pie_vancouver]

If BC govt really do not want to ban foreign buyers, why not raise it to 30-40% and not just an increase from 15 to 20% same with absentee owners, .5 to 2% speculator tax, raise it to 20-30%. These people do not pay income tax here nor contribute to the society.

https://globalnews.ca/news/4033762/government-plans-to-add-speculation-tax-in-b-c-budget-eliminate-msp/
https://globalnews.ca/news/4036642/ndp-unveils-6b-comprehensive-housing-plan-speculators-in-the-crosshairs/

 

[steaky]

Although they don't pay income tax for resident purposes, they pay tax on non resident basis. They contribute to society because they pay their non resident taxes and annual property taxes. Property taxes contributes to local school district, translink, the maintenance of city sewers, etc.

They have their contribution to the society by other means too - including renting it out, being seasonal residents, etc. Being seasonal residents, they come to the city and spend - improving the economy...

 

[steaky]

Since the government will project $219 million surplus in 2018-19, $281 million surplus in 2019-20 and $284 million in 2020-21, why not use them to fund the MSP instead of make companies pay?

I have a feeling that the NDP just want to make more money.

 

[pie_vancouver]

Although they don't pay income tax for resident purposes, they pay tax on non resident basis. They contribute to society because they pay their non resident taxes and annual property taxes. Property taxes contributes to local school district, translink, the maintenance of city sewers, etc.

They have their contribution to the society by other means too - including renting it out, being seasonal residents, etc. Being seasonal residents, they come to the city and spend - improving the economy...

I am talking about income tax, absentee owners are non resident, they don't earn income from Canadian sources, meaning Zero income tax, would they rent out their at least $2 million dollar house??
I can give you a sample of rich absentee owner that filed a less than $1,000 income, did he contribute to society???

 

[mgnlky]

Although they don't pay income tax for resident purposes, they pay tax on non resident basis. They contribute to society because they pay their non resident taxes and annual property taxes. Property taxes contributes to local school district, translink, the maintenance of city sewers, etc.

They have their contribution to the society by other means too - including renting it out, being seasonal residents, etc. Being seasonal residents, they come to the city and spend - improving the economy...

The issue is, though, a large portion of non-BC resident homeowners are circumventing the non-resident taxes by claiming a very small income. There was a recent news article here in Vancouver about a wealthy man who lived overseas and claimed a worldwide income of like $50.

 

[pie_vancouver]

^Got publicized because of family quarrel!

 

[steaky]

I am talking about income tax, absentee owners are non resident, they don't earn income from Canadian sources, meaning Zero income tax, would they rent out their at least $2 million dollar house??
I can give you a sample of rich absentee owner that filed a less than $1,000 income, did he contribute to society???

At least he is paying his property taxes which pays for schools and infrastructures. To be fair, these people should pay 20 % more (not just 2%) of the property tax than the average taxpayer.

 

[canuck78]

At least he is paying his property taxes which pays for schools and infrastructures. To be fair, these people should pay 20 % more (not just 2%) of the property tax than the average taxpayer.

Property taxes in Canada pay a very small fraction of this it and the money mainly comes from income tax. There is a suggestion the property taxes should be raised so international owners pay their fair their share. The property tax program was implemented when all homeowners were also paying income tax on their income or had paid before retirement.

 

[steaky]

I am talking about income tax, absentee owners are non resident, they don't earn income from Canadian sources, meaning Zero income tax, would they rent out their at least $2 million dollar house??
I can give you a sample of rich absentee owner that filed a less than $1,000 income, did he contribute to society???

The BC NDP is no better than the Liberals. At least, the Liberals gave us a plebiscite to choose whether to agree a translink tax on top of sales tax and a grace period of 1 week before the foreign buyer tax is in effect.

 

[steaky]

The property tax program was implemented when all homeowners were also paying income tax on their income or had paid before retirement.

I'm not sure what you mean.

Depending how much the property had been assessed, seniors or retiree homeowners still have to pay property taxes after retirement.

 

[canuck78]

I'm not sure what you mean.

Depending how much the property had been assessed, seniors or retiree homeowners still have to pay property taxes after retirement.

The division of costs between property taxes and income taxes were set when the majority of Canadians and PRs paid both taxes so it didn't matter for example that health care costs aren't covered in property taxes. There are more and more people living in Canada who are claiming little to no income but living in expensive houses. There are discussions that property taxes she go up and income taxes go down a bit so those not paying their fair share of taxes actually habe to pay more. Not enough but at least more.

 

[pie_vancouver]

The higher the tax rates for foreign buyers and absentee owners the BETTER! then they will be discouraged to buy or they might even sell their houses, and forget Canada, Canadians and PRs would now have available houses to buy, prices might get stable and not skyrocketing like now or maybe they can afford one, one day...

 

[steaky]

The division of costs between property taxes and income taxes were set when the majority of Canadians and PRs paid both taxes so it didn't matter for example that health care costs aren't covered in property taxes. There are more and more people living in Canada who are claiming little to no income but living in expensive houses. There are discussions that property taxes she go up and income taxes go down a bit so those not paying their fair share of taxes actually habe to pay more. Not enough but at least more.

But income tax rates varies from one province to another! So when the Canadian and PR who lives in their home provinces and have a second home (or vacation property) in another, do their home province income tax contribute to the other home in the other province?

 

[canuck78]

That would have to be all sorted out. Most likely why this is always an idea suggestes yet nothing ever moves forward.

 

[steaky]

The higher the tax rates for foreign buyers and absentee owners the BETTER! then they will be discouraged to buy or they might even sell their houses, and forget Canada, Canadians and PRs would now have available houses to buy, prices might get stable and not skyrocketing like now or maybe they can afford one, one day...

I don't think this is fair to out of province Canadians and PR who come to the region on a seasonal basis.

Edit: And also other Canadians and PR British Columbians who have principal home in one municipality and occasionally live in another for working/studying, similar to this one:

https://bc.ctvnews.ca/why-are-people-who-live-in-their-homes-getting-dinged-by-the-empty-homes-tax-1.3813469#_gus&_gucid=&_gup=twitter&_gsc=mT4f8zS&_giguuid=78091de92f7b46e38f729ae13214e131