The speculation and vacancy tax has generated $115 million for the province in the 2018-19 fiscal year but the local homebuilders association said that it is coming at the cost of jobs.
The Canadian Home Buildersâ Association of the Central Okanagan said residential construction jobs have been hit hard, seeing a 22 per cent reduction in Âé¶čAV, a 17 per cent reduction in West Âé¶čAV and a 12 per cent reduction in Nanaimo.
Cassidy deVeer, president of the association, said Âé¶čAV has lost 3,000 jobs since the tax was implemented.
âWe are highlighting the job reductions in our industry since the Speculation Tax was introduced to show its impact,â said deVeer. âIt has harmed specific areas like Âé¶čAV and West Âé¶čAV and has driven growth in other communities like Kamloops and Penticton.â
On the other hand, Kamloops has seen the opposite effect. DeVeer said the city has seen a 35 per cent increase in jobs and a 30 per cent increase in vacant homes.
On Thursday, Sept. 12, the mayors of both Âé¶čAV and West Âé¶čAV met with Carole James, B.C.âs Minister of Finance to discuss the tax. Both mayors have opposed the tax in the past.
âThe Speculation Tax affects Âé¶čAV and West Âé¶čAV directly and we think the people of the Central Okanagan deserve an answer on what the Finance Minister is doing about job reductions,â said deVeer.
âThese lost jobs are not wealthy or foreign people which the tax is advertised to be targeting. These people are the working middle class and now they are out of a job in our communityâ
The tax is meant to target vacant properties and properties owned by real estate speculators and raise revenue that will directly support affordable housing.
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michael.rodriguez@kelownacapnews.com
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