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

Maple Ridge cannabis plant plans on growing

Tantalus Labs plans on doubling its workforce in a year

Ridge player earns Pat Quinn scholarship

Adam Leitch plays for the Burnaby Winter Club academy prep team.

Maple Ridge goalie named junior B most inspirational player

Matthew Trulsen played through season despite the death of his older brother.

Maple Ridge’s indoor pool redo in final months

Structural work done, with target opening to be late summer

UPDATED: Prime minister talks housing in Maple Ridge

Trudeau speaks to rising cost of housing, pressures on young people.

Video of ‘brutal, shocking and chilling execution’ opens B.C. murder hearing

Sentencing underway for Brandon Woody after pleading guilty to second-degree murder in Nanaimo

Is it a homicide? B.C. woman dies in hospital, seven months after being shot

Stepfather think Chilliwack case should now be a homicide, but IHIT has not confirmed anything

SPCA seizes 54 animals from Vernon property

Animals weren’t receiving adequate care

Morneau unveils principles for Indigenous ownership in Trans Mountain pipeline

The controversial pipeline was bought by Ottawa last year

Refugee who sheltered Edward Snowden in Hong Kong arrives in Canada

Vanessa Rodel and her seven-year-old daughter Keana arrived in Toronto this week

New UMSCA trade deal getting a boost from Trump, business groups

The trade deal is designed to supplant the North American Free Trade Agreement

Trudeau says he, Wilson-Raybould had cordial conversation last week

Trudeau denies anything improper occurred regarding SNC-Lavalin and the PMO

Most Read