Coldstream is one of 13 B.C. communities added to B.C.'s speculation and vacancy tax. (File photo/Vernon Matters)

By Pete McIntyre

speculation tax

Coldstream on board with new B.C. tax even though they were ‘not consulted’: mayor

Nov 23, 2023 | 3:00 PM

Coldstream’s mayor says the district didn’t get a lot of notice that they would be added to the province’s list of communities included in the speculation and vacancy tax (SVT).

Coldstream, Vernon, Penticton, Summerland, Peachland, Salmon Arm and Kamloops were among 13 B.C. communities added to the program that taxes residents with vacant homes as a way to provide more housing, and to ensure foreign owners contribute fairly to B.C.’s tax system.

Finance minister Katrine Conroy made the announcement on Wednesday, Nov. 22.

“The District of Coldstream was not consulted on this expansion of the speculation and vacancy tax,” Mayor Ruth Hoyte told Vernon Matters. “I spoke to the provincial finance minister the day before the announcement, who advised this tax would now apply to our municipality.”

Hoyte said, overall, her district supports the government’s direction on their “Housing for People” program.

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“And this direction on the expansion of the vacancy and speculation tax is one of the components, and moves towards their goal of homes not sitting empty when they could be rented on a long term basis,” the mayor said.

Hoyte said she can only speculate at this time, why Coldstream was included in the expansion.

“I am not convinced the district has a plethora of homes sitting empty. Those homeowners who have summer homes in the district will be impacted. Our snowbird residents who spend less than six months in their homes located in Coldstream will also be impacted. The vast majority of our residents will not be impacted,” Hoyte said.

All registered owners of residential property in a designated taxable area must complete a declaration each year to declare their residency status and how their property has been used.

The declaration is due on March 31 of each year, and anyone who doesn’t complete it, will have to pay the SVT which ranges from 0.5 per cent, to a maximum of 2 per cent of a property’s assessed value.

Hoyte said the yearly declaration process will likely not be embraced by most residents.

“For the rest of our residents, the added nuisance of filling paperwork annually to declare our homes occupancy [is] another piece of potential bureaucracy.”

Hoyte advises residents to file their declaration early in the year, by March 31, and carry on.

“If you miss the deadline, our district staff will not be able to assist, as this is a provincial initiative and tax.”

With the expansion of the program, the tax will now apply to 59 B.C. cities and towns.

Finance Minister Conroy said on Wednesday that resorts, such as Silver Star, are not included at this point, but could be in the future.