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

Cyclist injured in Langley hit-and-run

Rider was taken to hospital

Phasing plans for Brookswood defeated

Council voted against staggering neighbourhood planning in Brookswood-Fernridge.

LETTER: Canada should not be selling weapons abroad

A Langley man is critical of Canada for selling arms that are being used to kill civilians.

Langley author pens tribute to the men and women of Canada’s military for Remembrance Day

‘A soldier, a sailor and an airman … stood before the Pearly Gates’

LETTER: Langley candidate pleasantly surprised by campaign

A local woman who ran for municipal council is grateful for the experience.

VIDEO: B.C. legislature clerk, sergeant at arms suspended for criminal investigation

Clerk of the House Craig James, Sergeant-at-arms Gary Lenz on administrative leave

Former NHL player and coach Dan Maloney dies at 68

Maloney coached the Toronto Maple Leafs and Winnipeg Jets

Ex-MSU president charged with lying to police about Nassar

Lou Anna Simon was charged Tuesday with lying to police during an investigation

Police aim to prevent retaliation after Hells Angel found dead under B.C. bridge

IHIT confirms Chad Wilson, 43, was the victim of a ‘targeted’ homicide

Otter makes a snack out of koi fish in Vancouver Chinese garden

Staff say the otter has eaten at least five fish

Police looking into two more incidents at private Toronto all-boys’ school

Police and the school have said two of the prior incidents involved an alleged sexual assault

B.C. lumber mills struggle with shortage of logs, price slump

Signs of recovery after U.S. market swings, industry executive says

25% of Canadians still won’t say they use pot, survey says

Statistics Canada poll says Canadians on average were 18.9 years old when they first tried pot.

Canucks’ 50/50 jackpot expected to surpass $1 million

The guaranteed prize for one lucky winner will be $500,000 minimum when Vancouver hosts LA Nov 27

Most Read