Corporations, Trustees and Partners Exemptions for Speculation and Vacancy Tax
Many of the speculation and vacancy tax exemptions available to individuals are also available for residential property owned by eligible corporations, trustees or partners.
To be eligible for a principal residence exemption, a corporation, trustee or partner must take account of its corporate interest holders, the beneficial owners or partnership interest holders:
- Corporate interest holders are individuals who have significant ownership and/or control of the corporation
- Beneficial owners are individuals who have a direct or indirect beneficial interest in a residential property
- Partnership interest holders are individuals who have an interest in the partnership’s residential property as a partner or as a corporate interest holder of a partner that is a corporation
If a property is the principal residence of a corporate interest holder, beneficial owner or partnership interest holder, then the corporation, trustee or partner may be eligible for the principal residence exemption.
Eligibility for an exemption depends on whether the corporate interest holders, beneficial owners or partnership interest holders all meet the requirements that individual owners would need to meet when claiming the principal residence exemption. They must be:
- Canadian citizens or permanent residents of Canada
- Resident in B.C. for income tax purposes, and
- Not members of a satellite family
Corporations, trustees or partners may claim other exemptions in a similar manner. To be eligible they must still ensure that all of their corporate interest holders, beneficial owners or partnership interest holders meet the same requirements that individual owners are required to meet.