If you own residential property in British Columbia, you may be required to declare for the Speculation and Vacancy Tax (SVT). This tax aims to reduce real estate speculation and increase housing availability by discouraging property owners from leaving homes vacant.
What Is the Speculation and Vacancy Tax?
The SVT applies to homes that are vacant or underutilized in designated regions of BC. Introduced in 2018, the tax targets property owners who are not full-time BC residents or those who leave their properties empty for most of the year. The goal is to encourage property owners to either rent out their homes or contribute additional tax revenue toward affordable housing initiatives.
The tax applies in specific regions, including:
Metro Vancouver
Greater Victoria
Kelowna and West Kelowna
Nanaimo
Chilliwack, Abbotsford, Mission, and Langford
Who Needs to Declare?
Every residential property owner in affected areas must complete a declaration each year, even if they are exempt. Most BC residents will qualify for an exemption, such as:
Using the property as their primary residence
Renting it out for at least six months of the year (in increments of at least 30 days)
Certain special circumstances (e.g., medical reasons, death of an owner, recent property purchase)
If you do not qualify for an exemption, you may need to pay:
0.5% of the property’s assessed value (for Canadian citizens and permanent residents)
2.0% of the property’s assessed value (for foreign owners and satellite families)
When Is the Deadline?
The annual declaration deadline is March 31.
If the tax applies to you, payment is due by July 2.
How to Declare
Property owners will receive a declaration letter in the mail with instructions and a unique code. You can declare:
Online: gov.bc.ca/spectax
By Phone: Call the SVT hotline (contact details will be in your letter)
Make sure to declare by March 31 to avoid penalties.
Final Thoughts
Even if you do not owe any tax, you must still declare. Failing to do so may result in penalties or being charged the tax. If you have multiple properties, a declaration is required for each one.
If you have questions or need assistance with your declaration, visit the BC government website or speak with a tax professional.
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