Speculation and vacancy tax
The speculation and vacancy tax is an annual provincial tax on homes that sit empty in about 60 designated BC communities. For 2026 the rate rose to 1% of assessed value for Canadian citizens and permanent residents and 3% for foreign owners and untaxed worldwide earners. Every owner in a taxable area must declare by March 31.
Charged on the assessed value of your share.
| Owner | 2019 to 2025 | 2026 | 2027 on |
|---|---|---|---|
| Canadian citizen or permanent resident, not an untaxed worldwide earner | 0.5% | 1% | 1% |
| Foreign owner, or untaxed worldwide earner (satellite family) | 2% | 3% | 4% |
An untaxed worldwide earner, often called a satellite family, is someone whose household earns more income outside Canada than it reports inside Canada. BC residents who do owe the tax can claim a non-refundable credit of up to $4,000 for 2026 and later years ($2,000 for 2018 to 2025), which cancels the 1% tax on an assessed value up to $400,000.
| Assessed value | Citizen or PR | With BC resident credit | Foreign owner |
|---|---|---|---|
| $800,000 | $8,000 | $4,000 | $24,000 |
| $1,200,000 | $12,000 | $8,000 | $36,000 |
| $2,000,000 | $20,000 | $16,000 | $60,000 |
Find the first row that matches you.
| Your situation | Owe it? | Why |
|---|---|---|
| The home is outside the taxable communities listed below | No | The tax applies only in designated areas, and no declaration is required. |
| It is your principal residence (you live there most of the year) | No | Principal residence exemption. Declare by March 31 to claim it. |
| A tenant lived there at least 6 months of the year | No | Tenancy exemption. Each rental must run at least a month; the months do not need to be consecutive. |
| You bought it this year and paid property transfer tax, or inherited it this year | No | First-year exemption for a newly acquired or inherited home. |
| It was empty because of separation, a death, bankruptcy, or medical care away from home | Usually no | Specific exemptions apply, each with its own conditions and time limits. |
| Your strata bans rentals | Yes | That exemption covered 2018 to 2021 only. Since 2022, a rental ban does not exempt you. |
| A second home you keep empty, and you are a Canadian citizen or PR | Yes, 1% | Assessed value x 1%, less the BC resident credit of up to $4,000 if you qualify. |
| A second home you keep empty, and you are a foreign owner or untaxed worldwide earner | Yes, 3% | Assessed value x 3% for 2026, rising to 4% from 2027. The $4,000 credit does not apply. |
| You did not declare by March 31 | Yes, at the top rate | An undeclared home is assessed at the highest rate until you file a late declaration. |
Reserve and Treaty lands and most islands are excluded.
Vancouver, Burnaby, Richmond, Surrey, Coquitlam, Delta, Langley City, Township of Langley, Maple Ridge, New Westminster, City of North Vancouver, District of North Vancouver, West Vancouver, Pitt Meadows, Port Coquitlam, Port Moody, White Rock, Anmore, Belcarra, Lions Bay, UBC lands, University Endowment Lands, Squamish
Abbotsford, Chilliwack, Mission
Victoria, Saanich, Central Saanich, North Saanich, Oak Bay, Esquimalt, View Royal, Colwood, Langford, Highlands, Metchosin, Sooke, Sidney
Nanaimo, Lantzville, Parksville, Qualicum Beach, Courtenay, Comox, Cumberland, Duncan, North Cowichan, Ladysmith, Lake Cowichan
Kelowna, West Kelowna, Lake Country, Peachland, Penticton, Summerland, Vernon (excluding Predator Ridge), Coldstream, Salmon Arm, Kamloops
Declaration letters go out from late January by postal code, for the tax year just ended. For the 2025 tax year the declaration period opened January 19, 2026 and closed March 31, 2026; the 2026 tax year is declared in early 2027. Each owner on title declares separately, even spouses, and even when the answer is an exemption.
Assessments follow in April, and any tax owing for the 2025 tax year was due July 2, 2026. Paying late adds a 10% penalty plus interest. Missing the declaration entirely means the home is assessed at the highest rate until a late declaration is filed.
Claim each on the yearly declaration.
Not on the list anymore: a strata rental ban. That exemption applied to the 2018 to 2021 tax years only.
A Vancouver home can owe both, with separate declarations.
| Speculation and vacancy tax | Vancouver Empty Homes Tax | |
|---|---|---|
| Who charges it | Province of British Columbia | City of Vancouver only |
| Rate | 1% citizens and PR, 3% foreign and untaxed worldwide earners (2026) | 3% of assessed taxable value, same for every owner |
| Declaration deadline | March 31 each year, one per owner | Early February for the prior year (February 3, 2026 for 2025), one per property |
| Payment due | Early July (July 2, 2026 for the 2025 tax year) | Mid April (April 16, 2026 for 2025) |
| Tenancy that exempts you | At least 6 months in the year, in rentals of at least one month | At least 6 months, in periods of 30 or more consecutive days |
| If you do not declare | Assessed at the top rate | Deemed vacant and taxed at 3%, plus a $250 fine |
| Listed for sale or rent | No exemption | No exemption |
On a Vancouver condo assessed at $1,200,000 and left empty all year by a Canadian owner, that is $12,000 to the province and $36,000 to the city in the same year, before the BC resident credit.
Yes, if the home is in one of the taxable communities. The principal residence exemption is claimed on the declaration, and every owner on title declares separately by March 31. A home that is not declared is assessed at the highest rate.
Thirteen communities joined for the 2024 tax year, with first declarations due in January 2025: Vernon, Coldstream, Penticton, Summerland, Lake Country, Peachland, Courtenay, Comox, Cumberland, Parksville, Qualicum Beach, Salmon Arm, and Kamloops. No communities were added for 2025 or 2026. Whistler is not in the taxable area.
No. The Empty Homes Tax is a City of Vancouver tax at 3% with its own declaration due in early February, one per property. The speculation and vacancy tax is provincial, with a declaration due March 31 from each owner. A Vancouver home that sits empty can owe both.
Yes, if a tenant occupied it for at least six months of the calendar year, in rentals of at least one month each. The months need not be consecutive, but the tenancy must be real: a family member who pays no rent qualifies only under tighter rules, and a strata rental ban has not been an exemption since the 2021 tax year.
Written and maintained by Ray Rasouli, REALTOR®, licensed in British Columbia and founder of Relta Real Estate.
Source: MLS® listing data from BC real estate boards (MLS® Reciprocity) and CREA's DDF®.
NOTE: This representation is based in whole or in part on data generated by the Chilliwack & District Real Estate Board, Fraser Valley Real Estate Board or Real Estate Board of Greater Vancouver which assumes no responsibility for its accuracy. The information contained on this site is based in whole or in part on information that is provided by members of The Canadian Real Estate Association (CREA), who are responsible for its accuracy. CREA reproduces and distributes this information as a service for its members and assumes no responsibility for its accuracy. MLS®, Multiple Listing Service®, and REALTOR® are trademarks of the Canadian Real Estate Association (CREA).
Rates, taxable areas, exemptions, and dates are read from the Province of British Columbia’s speculation and vacancy tax pages on gov.bc.ca; Empty Homes Tax figures are read from vancouver.ca. Both were last verified on 2026-10-06. Vancouver’s rate for the 2026 reference year had not been republished at that date; the figure shown is the rate in force since 2021. Ray Rasouli is a licensed REALTOR® and is not an accountant or a lawyer. Nothing on this page is tax or legal advice.