A couple on Vancouver Island who have been living in a detached house since buying it two years ago were levied by B.C.**30,000 yuan in vacancy tax, and they are worried that they will lose their homes. Madison and Charlotte Becerra recently received a letter from B.C. ** stating that they have until July 1 to pay $1. for their property in Ladysmith, B.C., under the Speculation and Vacancy Tax (SVT).$30,000. The couple bought the house two years ago and live in it all year round, but since they are not Canadian citizens or permanent residents, they cannot apply for tax exemption. This year marks the first time that the vacancy tax has been extended to Ladysmith, about 70 kilometres north of Victoria. B.C. ** gave them 5 months to pay this tax, otherwise their homes will be placed in lien and a 10% late fee and interest will be charged. Becerra said"We simply can't come up with this money, and that will bankrupt us. "
Picture: x Madison said they have to pay land taxes for their homes, as well as income taxes in B.C. and Canada. She said"We pay taxes, we do what we can, you know, we're trying to be the best B.C. residents can be, but it's hard to accept that we're being asked to pay a vacancy tax for a home that we live in every day. In fact, we have stayed here every night since buying this house and we couldn't walk if we wanted to. "The couple reportedly settled in Ladysmith after moving to B.C. from the United States. They said they no longer had economic ties to the United States and that both had valid visas. Madison was on a study permit at Vancouver Island University (VIU) and Becerra was on an open work permit. Both of them work in the home care of people with developmental disabilities. Becerra said they would not consider returning to the United States:"Our whole life is on Vancouver Island, and everything we have is here. If we get kicked out of here because of this tax, we really have nothing. We have to start over. "The two said paying the tax would cost them money.
According to B.C.***, the speculative vacancy tax was introduced in 2018 to discourage people from vacating homes and to ensure that foreign property owners and those whose main income comes from foreign countries make a fair contribution to B.C.'s tax system.
The vacancy tax rate is based on the assessed value of the home and is 2% for people who do not pay most of their taxes in Canada; For Canadian citizens or permanent residents who pay most of their taxes in Canada, the tax rate is 05%。As U.S. citizens, Becerra and Madison are classified as foreign buyers and are subject to a 2% tax rate, even though they live and work in B.C. The vacancy tax applies to the areas most affected by the current housing shortage crisis as determined by B.C.**. It is currently available in 59 communities, and every homeowner must make a declaration. According to the province, about 99 percent of people qualify for tax exemption and do not have to pay taxes. The Department of Finance said those who believe they have been wrongly charged a vacancy tax can appeal the results of the assessment, which will be served within 90 days. Becerra and Madison planned to appeal, but were told they were not eligible for a waiver because they were not permanent residents.