City council opposed to tax

Kelowna resolution calls instead for ‘true, transaction-based speculation tax’

Kelowna politicians want the provincial government to know they are “fundamentally opposed” to its new real estate speculation tax.

A four-part resolution that includes that description of the city’s position on the tax was passed unanimously by councillors on Tuesday.

The tax, aimed at out-of-province owners of homes that are left empty most of the year, could have “unintended consequences” of triggering an economic slowdown, the resolution states.

It also calls on the NDP government to instead consider a tax that

targets anyone who sells a property shortly after buying it. Such a

measure, the resolution says, would be a “true, transactionbased speculation tax.”

The government should conduct an economic impact assessment of the proposed speculation tax, Kelowna politicians say. They’ve also directed Mayor Colin Basran to try to meet with Premier John Horgan, Finance Minister Carole James and Municipal Affairs Minister Selina Robinson to discuss the tax.

Opponents of the tax say it will curb the desirability of Kelowna properties for out-of-province buyers, trigger a slowdown with resulting job losses in the construction sector and do little to actually promote housing affordability.

“We are hopeful the government has heard the concerns raised about the potential unintended consequences of the speculation tax and ensures the right tools are used to address true speculation,” Mayor Colin Basran said in a city release.