As of January 1, 2025, the BC Home Flipping Tax is in effect.

This new tax is distinct from the existing federal property flipping tax and specifically targets short-term property sales within British Columbia.

Here are some key points

– The tax applies to income from sales of residential properties, presale contracts, or assignments owned for less than 730 days (two years). This includes properties bought before January 1, 2025, if they are sold on or after that date and owned for less than two years.
– The rate is 20 per cent for sales within the first 365 days of ownership, gradually decreasing until it is eliminated at 730 days.
– This tax applies to any person or entity (individual, corporation, partnership, or trust) selling property within BC, regardless of residency
– Exemptions include certain primary residences, though exemptions are subject to specific conditions and filing requirements

Disclaimer: The information provided in this blog post is for general informational purposes only and should not be considered professional advice. No guarantees are being made, express or implied, regarding its completeness, accuracy, reliability or timeliness. Real estate markets, laws and regulations frequently change, and the content of this blog post may become outdated. The author and the website owner are not responsible or liable for any decisions, actions or losses arising from the use of  the information contained herein. Use this information at your own discretion. For professional advise specific to situation, readers are encouraged to contact and setup a consultation.