B.C. Liberal leader Andrew Wilkinson says flipping of condo pre-sale condos is a problem in Metro Vancouver, but not widespread elsewhere. (Black Press files)

Opposition leader calls for ‘flipping tax’ on condo capital gains

B.C. Liberals say it’s better than NDP speculation tax

B.C. Liberal leader Andrew Wilkinson has proposed his own version of a “speculation tax” that he says will better target real estate practices that artificially drive up condominium prices.

Wilkinson presented a private member’s bill in the legislature Monday called the Strata Pre-Sale Contract Flipping Tax Act, which proposes a new capital gains tax on sellers who make quick profits on sales before construction is complete.

Like most private member’s bills, it has little chance of being passed, but Wilkinson said he hopes the NDP government will consider it.

The tax would duplicate the existing federal capital gains tax that applies to any sale for profit, effectively doubling the tax for pre-sale contracts sold on new developments.

“The idea is to tax the flipping of pre-sale contracts to slow down this ridiculous approach whereby people have trouble getting into the housing market, because the condo they want to buy has been flipped three or four times before they get there,” Wilkinson said.

The NDP government has brought in a “speculation tax” on second homes in urban areas where housing costs are high and rising. It was criticized for penalizing people with vacation homes, prompting Finance Minister Carole James to remove its application from rural areas in the Okanagan, Fraser Valley and Vancouver Island.

Wilkinson said the NDP government’s other housing tax, an extra school tax on homes worth $3 million or more, lands mostly on long-time homeowners rather than speculators.

Just Posted

Surrey woman’s ‘tell-all’ book aims to help those struggling with domestic violence

Second book details abusive marriage, how people failed her

Surrey Mayor Linda Hepner bids farewell in tearful State of City Address

Outgoing mayor announces Director of Housing, looks back at Surrey’s evolution, and pokes fun at her ‘media missteps’

ZYTARUK: Hepner, to her credit, rose to the occasion

She could have used her last address to make political digs, pitches and slights. She did not.

Supportive housing opponent says 110-year-old document should prevent development

Proposed site for Cloverdale project is on land gifted to city by Joseph Shannon in 1908

VIDEO: Story surrounding new playground at Surrey hospital a real ‘tear-jerker’

Dad began planning after his son had surgery in Surrey and he saw too many sad faces

Fresh-faced Flames fend off Canucks 4-1

Vancouver drops second straight NHL exhibition contest

VIDEO: B.C. deer struggles with life-preserver caught in antlers

Campbell River resident captures entangled deer on camera

Scheer pushes Trudeau to re-start Energy East pipeline talks

Conservative Leader Andrew Scheer questioned the Prime Minister over Trans Mountain project

Mistaken identity: Missing dog claimed in Moose Jaw belongs to another family

Brennen Duncan was reunited with a white Kuvasz that was found in Saskatchewan

Abandoned kitten safe and sound thanks to B.C. homeless man

‘Jay’ found little black-and-white kitten in a carrier next to a dumpster by a Chilliwack pet store

Police chief defends controversial marijuana seizure

Advocates said cannabis was part of an opioid-substitution program in Vancouver’s Downtown Eastside

Trans Mountain completes Burrard Inlet spill exercise

Training required, some work continues on pipeline expansion

Supporters of B.C. man accused of murdering Belgian tourist pack courtoom

Family and friends of Sean McKenzie, 27, filled the gallery for brief court appearance in Chilliwack

Most Read