Status quo sees B.C. residents subsidize the global elite

Re: Speculation tax still being applied unfairly, Opinion, April 24,

Stephen Bigsby takes issue with my recent column defending the speculation tax. According to him, it is my view that, “There is no middle ground. There are no better alternatives.”

However, my op-ed made no such claims. It was simply noted that two prominent concerns around the initial version of the tax had been addressed by the government. Given the wave of media criticism at the time, it was important that the status quo be put on trial, too — because vested interests were trying to leverage understandable, yet resolvable, concerns to get the tax scrapped entirely.

For vested interests in real estate, there really is “no middle ground.” They are not interested in tweaks to the tax, as Mr. Bigsby is — they want the tax scrapped. That’s because they want the status quo to continue — where working British Columbians subsidize the lifestyles of a global elite — so that they can sell real estate at higher prices. That is the central question when it comes to the speculation tax.

On the question of out-of-province Canadians who own second homes in urban regions, which is Mr. Bigsby’s concern, reasonable people can differ about whether they should be taxed at a slightly higher rate than British Columbians who have vacant homes. The rationale, presumably, is that British Columbians are having to pay more of the costs of alleviating the housing crisis, including major investments in social housing. Asking those outside the province to pitch in further — and incentivizing them to rent vacant units during a rental crisis — doesn’t seem outrageous, but there is legitimate debate to be had.

Nevertheless, context matters. B.C. is in the midst of a housing crisis, where tent cities have popped up in major urban areas, while out-of-province owners sometimes leave properties largely empty.

Mr. Bigsby, a Toronto resident, can understand why the provincial government has put alleviating that crisis to the forefront. Once it eases, it wouldn’t be surprising to see a mitigation of the speculation tax for out-of-province owners, perhaps even along the lines he suggests.

Josh Gordon, Vancouver