Possibility of Home Taxes on Primary Homes “Very Concerned” for Average Homeowners: Supporters of Taxpayers

Signs that the federal government is considering introducing a potential capital gains tax on the sale of primary homes are a major concern for Canadians, said the BC director of the taxpayer advocacy group.

Chris Sims, British Columbia Director of the Canadian Taxpayer Federation (CTF), said: I told the Epoch Times.

“That means that’s the house you live in now. If it’s your only home, the federal government will seriously nail you with new taxes when you sell. thinking about.”

Sims points out a $ 250,000 survey to investigate possible taxes on major homes paid by the government through the Canada Mortgage and Housing Corporation (CHMC). Blackrock reporter Last July.

“The goal is to identify a solution that can level the competition between the lessor and the owner,” said CMHC spokeswoman Audrey Ann Coulombe.

This study was conducted by a group called Generation Squeeze through the School of Population and Public Health at the University of British Columbia. Generation Squeeze, a self-proclaimed lobby group for young Canadians, released a report on affordable housing in 2019, Crossing the Gap. [that] We encourage the commercialization of Canadian homes. “

Following Blackrock’s article, then CMHC CEO Evan Siddall denied allegations that CMHC was funding research to consider housing mortgages.

However, Sims said the CTF had obtained documents to support its allegations, including an email between CMHC and Generation Squeeze, under the Information Disclosure Act.

“Notable policy adaptations include the opportunity to move from taxing current or future revenues to taxing housing assets,” said one email.

The project charter, signed by Generation Squeeze and CMHC in March 2020, also directly refers to tax policy reviews.

“So we have that proof [the Liberals] I’m serious about it, “says Sims.

“I think Canadians need to be very worried about this. The federal government [is] They will search for money as they spend money on the left, right and center, regardless of the fact that they are deepening us into debt and deficit spending. “

“Don’t be surprised”

Philip Cross, an economic analyst and senior fellow at the Fraser Institute, pointed out in a recent financial post Commentary The property tax is a form of wealth tax, and capital gains tax on primary homes is actually difficult to implement.

“It sounds very attractive, but as with wealth taxes, when designing in ways that actually increase income, it’s actually very difficult for governments to design something that makes a lot of money. I noticed that, “said Mr. Cross. interview.

An example he gave was abolishing the wealth tax after concluding that France would only force the wealth tax to flee the country. Germany has decided that the wealth tax is unconstitutional, but Austria has abolished the wealth tax due to high administrative costs and the burden of small and medium-sized enterprises.

Mr. Cross said he was “not surprised” that Ottawa was looking at ways to increase revenue.

“They must be thinking about so many taxes, as they need to solve a significant deficit problem and seem less interested in solving it through spending restraints, so automatic. There will be a tax increase, “he says. Said.

“Government spending has many challenges and we need to consider how to slow it down. Instead, we seem to be heading in the opposite direction.”

Revenues from the sale of major homes have always been exempt from federal taxes. Sims said that if housing taxes were actually introduced, the problem of affordable housing could increase.

She has recently been in Toronto Sun, and capital gains taxes on her primary home can rob Canadian families of thousands of dollars. Commentary..

“If a homeowner knows that a large tax will be levied on a sale, he or she can leave the starter on the market without selling it, or list the new tax costs. In addition to the price, you can make your home more expensive, “Sims wrote.

“Low supply and high prices do not mean that homes are affordable.”

For CTF Petition started Calling the federal government to withdraw its home tax plan, Sims encourages Canadians to sign it.

“We can fight back. We live in democracy. Politicians are sensitive, especially if their work is going well.”

Andrew Chen