(Source: Comox Valley Echo)
The Vancouver Island Real Estate Board does not favour the B.C. government’s plan to introduce a harmonized sales tax next year.
Vancouver Island Real Estate Board president Ray Francis said he doesn’t like it.
“I don’t think a lot of people will,” said Francis. “That’s because the price of houses will go up.”
Effective July 1, 2010, the provincial government will harmonize the seven per cent provincial sales tax with the five per cent federal goods and services tax.
Under the old system, homebuyers pay five per cent tax and when they move in receive a rebate that brings the tax down to 3.5 per cent.
Francis sees the tax harmonization adding more to the cost of a new home.
Read Michael Briones’ full article “Get ready to pay more for a house, thanks to harmonized sales tax” in Canada.com (July 31, 2009).