Pending federal tax reforms targeting Airbnb hosts encouraging, B.C. minister says
The crackdown on short-term rentals continues.
CTV News has learned the federal government will announce new tax reforms on Tuesday that target Airbnb and other short-term rental hosts.
Under pressure to increase long-term housing supply and ease the country's housing crisis, the government is set to alter tax rules to no longer allow short-term rental hosts to write off rental expenses in cities where restrictions are in place, including Vancouver.
For example, if a host makes $120,000 in income and has $120,000 in expenses, they'd have to pay $33,000 in federal taxes.
"Early indication is it sounds like a pretty good proposal that they're putting forward to help us not only in British Columbia, but really across the country to address this growing challenge," said B.C. Housing Minister Ravi Kahlon.
Last month, the province introduced new legislation to crack down on illegal operators.
"I feel as though it's low hanging fruit, a scapegoat," said Jordan Deyrmenjian, founder of Artin Properties.
Deyrmenjian's company manages over 150 short-term rentals in the Metro Vancouver area. He said he understands people's frustration with the housing market, but believes targeting short-term rental hosts is not the solution.
"I think it would be more worthwhile of the federal government, provincial government, all ranges of government just to commit to providing more supply of housing and also non-market housing,” he said.
In October, the province said there were around 28,000 short-term rental listings in B.C.
"When I look at what government’s doing, I don't think it's an attack on short-term rentals so much as saying let's try and put short-term rentals in its appropriate place, rather than allow the excesses that have occurred, particularly in metropolitan areas," said Tsur Somverville, a UBC professor who specializes in housing issues.
The federal tax reforms are expected to be in place Jan. 1, 2024.
CTVNews.ca Top Stories
India's foreign minister reacts to murder charges, claims Canada welcomes criminals
India's Foreign Affairs Minister accused Canada of welcoming criminals from his country in response to the RCMP's recent arrests in a homicide that has roiled tensions between the two countries.
BREAKING 15-year-old boy stabbed in Ottawa on Thursday dies
A 15-year old boy who was critically injured after a stabbing in Nepean on Thursday has died of his injuries, Ottawa's English public school board said Sunday.
Dash cam catches moment suspected drunk driver hits parked car, sends it careening into North Shore flower shop
Police say it’s fortunate no one was injured or killed in a collision at North Vancouver’s Park and Tilford shopping centre Saturday evening that sent one vehicle careening into a flower shop and another into a set of concrete barriers outside a Winners store.
'A tiny city:' Pro-Palestinian campus protesters organize for another week
Pro-Palestinian activists have set up tents at universities in Toronto, Ottawa, Vancouver and Montreal, following a wave of similar protests at campuses in the United States linked to the Israel-Hamas war.
Lawsuit against Meta asks if Facebook users have right to control their feeds using external tools
Do social media users have the right to control what they see — or don't see — on their feeds?
Princess Anne lays wreath at Battle of Atlantic ceremony; honours late Queen
Princess Anne saluted Canadian veterans and current forces members today during a ceremony at British Columbia's legislature cenotaph commemorating the Second World War's Battle of the Atlantic.
El Nino weakening doesn't mean cooler temperatures this summer, forecasters say
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.
As storms moves across Texas, 1 child dies after being swept away in floodwaters
A child in Texas died Sunday after being swept away in floodwaters as storms swept across the state.
Nylander defends Leafs' core after playoff exit, Toronto again picks up the pieces
The Maple Leafs battled back from a 3-1 series deficit against the Boston Bruins with consecutive 2-1 victories - including one that required extra time - in their first-round playoff series to push the club's Original Six rival to the limit before suffering a devastating Game 7 overtime loss.