{"id":602,"date":"2016-07-28T21:38:29","date_gmt":"2016-07-28T21:38:29","guid":{"rendered":"http:\/\/www.chrisbrownrealestate.ca\/blog\/?p=602"},"modified":"2016-07-28T21:42:04","modified_gmt":"2016-07-28T21:42:04","slug":"government-to-introduce-a-15-per-cent-foreign-buyer-tax-effective-aug-2","status":"publish","type":"post","link":"https:\/\/www.chrisbrownrealestate.ca\/blog\/government-to-introduce-a-15-per-cent-foreign-buyer-tax-effective-aug-2\/","title":{"rendered":"Government to introduce a 15 per cent foreign buyer tax effective Aug 2"},"content":{"rendered":"

\"Wallace<\/a><\/p>\n

The provincial government will implement a 15 per cent foreign buyer tax on all residential transactions effective August 2, 2016. The tax will be added to the Property Transfer Tax and will apply to all residential properties purchased by foreign nationals or foreign-controlled corporations.<\/p>\n

The new tax will be payable on applicable transfers registered with the Land Title Office on or after August 2 regardless of when the deal was completed.<\/span><\/p>\n

The tax will apply to any transferee that is a foreign national, foreign corporation, or taxable trustee. Foreign nationals are defined as people who aren\u2019t Canadian citizens or don\u2019t have permanent resident status in Canada. (Permanent residents will have a valid permanent resident card issued by the Canadian government.)<\/span><\/p>\n

\u201cHousing affordability concerns all of us who live in the region. Implementing a new real estate tax, however, with just eight days\u2019 notice and no consultation with the professionals who serve home buyers and sellers every day needlessly injects uncertainty into the market,\u201d Dan Morrison, Board president said. \u201cGovernment has had a long time to take action on the affordability issue, yet they decide to bring this new tax in over a long weekend, with no notice, and no time to prepare. It would have been prudent to seek consultation from the people most knowledgeable about the impact.\u201d<\/span><\/p>\n

Under the new tax, for example, a foreign buyer or foreign-controlled entity will pay an additional $300,000 in tax on a $2 million home.<\/span><\/p>\n

\u201cTo minimize short-term volatility in the market, we\u2019re calling on government to exempt real estate transactions that are in the process of closing from this new tax,\u201d Morrison said. \u00a0<\/span><\/p>\n

Foreign corporations are any corporation not incorporated in Canada, or are incorporated in Canada but controlled in part, or wholly, by a foreign national or corporation. Publicly traded companies are excluded.<\/span><\/p>\n

Commercial properties are excluded, and mixed-use properties will only pay the tax on the portion of the property\u2019s value that\u2019s for residential use.<\/span><\/p>\n

We\u2019ve had questions regarding who’ll be exempt from this tax. You\u2019ll be exempt from paying the new tax if you:<\/p>\n

\u2022 Are a Canadian citizen, even if you live abroad; or<\/p>\n

\u2022 Are legally classified as a \u201cpermanent resident\u201d – someone who\u2019s been given permanent resident status by immigrating to Canada, but is not a Canadian citizen. Permanent residents will have a valid permanent resident card issued by the Canadian government. Click here for more information on permanent residency.<\/p>\n

For more information:<\/b><\/p>\n

Read the government announcement here<\/span><\/a>.<\/span><\/p>\n

Read the government\u2019s tax information sheet here<\/span><\/a>.<\/span><\/p>\n

We\u2019ll continue to share information with you on this development as we learn more.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

The provincial government will implement a 15 per cent foreign buyer tax on all residential transactions effective August 2, 2016. The tax will be added to the Property Transfer Tax and will apply to all residential properties purchased by foreign nationals or foreign-controlled corporations.<\/p>\n","protected":false},"author":2,"featured_media":603,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"footnotes":""},"categories":[32],"tags":[245,235,312],"class_list":["post-602","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-stats","tag-liberal-government","tag-north-vancouver-real-estate","tag-rebgv"],"_links":{"self":[{"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/posts\/602"}],"collection":[{"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/comments?post=602"}],"version-history":[{"count":1,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/posts\/602\/revisions"}],"predecessor-version":[{"id":604,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/posts\/602\/revisions\/604"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/media\/603"}],"wp:attachment":[{"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/media?parent=602"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/categories?post=602"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.chrisbrownrealestate.ca\/blog\/wp-json\/wp\/v2\/tags?post=602"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}