BC Speculation and Vacancy Tax: Declaration, Exemptions & 2026 Rates

If you own a home in West Vancouver or North Vancouver, you have to file a speculation and vacancy tax declaration with the Province every year, even if you live in it and owe nothing. Most owners are exempt, but missing the declaration can cost you the exemption. Here’s how the tax works, who pays it, and what changed in 2026, from the Province’s own announcements.

What it is

The speculation and vacancy tax is an annual provincial tax on residential property that sits empty or underused in designated areas of BC. It’s meant to encourage owners to live in their homes or rent them out long-term. It now applies in 59 communities, including Metro Vancouver municipalities such as West Vancouver and the City and District of North Vancouver.

Everyone on title must declare

Every owner on title in a taxable area must complete a declaration each year, even when they’re exempt. Declaration letters are mailed early in the year, and the deadline is March 31. Each declaration covers how the property was used in the previous calendar year; for example, the declaration due March 31, 2026 covered 2025. If you don’t declare, you can’t claim an exemption.

The Province says more than 99% of BC residents are exempt. For most owners, the declaration takes a few minutes online.

The main exemptions

There are more than 20 exemptions. The two most owners rely on are:

Principal residence. You lived in the home as your principal residence.
Long-term rental. The home was rented to a tenant for at least six months of the year.

Other exemptions cover particular situations, such as the death of an owner, an owner in hospital or care, or a home being built or renovated; each has conditions. Owners who don’t qualify for any exemption may be able to claim a tax credit; for BC residents the credit doubled from $2,000 to $4,000.

A home rented short-term, by the night, doesn’t count as a long-term rental. See Short-term rentals in BC for what’s allowed.

The rates

The rate is a percentage of the property’s assessed value, and it depends on who owns it:

Canadian citizens and permanent residents (who aren’t untaxed worldwide earners): 1% for the 2026 tax year, up from 0.5%.
Foreign owners and untaxed worldwide earners, a category that includes satellite families whose income is mostly earned outside Canada and not reported here: 3% for 2026, up from 2%. Budget 2026 raises this rate to 4% for the 2027 tax year.

On a $3,000,000 assessment, that’s $30,000 a year at 1%, or $90,000 at 3%. Because the tax is based on use in the previous year, the 2026 rates first appear on declarations made in early 2027.

If you’re buying

If you’re buying a second home, or a home you’ll leave empty for part of the year, budget for the tax unless you’ll rent it long-term.
If you’re moving here from abroad, check how the tax treats your household’s income before you buy.
Once you’re on title, you’ll receive a letter early the next year. Declare by March 31, every year.

Questions people ask

I live in my home. Do I really have to declare?

Yes. Every owner on title in a taxable area must declare each year to claim the exemption, even if they’ll owe nothing.

Is this the same as Vancouver’s Empty Homes Tax?

No. The Empty Homes Tax is a separate City of Vancouver tax with its own declaration. Homes in West and North Vancouver are subject to the provincial speculation and vacancy tax, not the City of Vancouver’s tax.

What if I missed the deadline?

Contact the Province right away. If no declaration is made, you can’t claim an exemption and the tax may be assessed.

General information for owners in British Columbia, current as of publication. Rates, exemptions and credits have conditions not covered here. Confirm your situation on the Province’s site or with your accountant.

The speculation and vacancy tax, explained