Vancouver business owners face another property tax increase in 2006
For Immediate Release: April 21, 2006
Vancouver , BC – Despite the high property tax burden on Vancouver businesses, city council opted to lower the tax burden by only one per cent at yesterday’s budget meeting. Currently, business owners pay six times the property taxes that homeowners pay – this is the highest ratio in the region and across Canada.
“A ‘token’ one per cent shift means that Vancouver business owners still face another property tax increase in 2006,” said Bob Laurie, Co-Chair of the Vancouver Fair Tax Coalition. “Some businesses will not make it. Others will have to cut back on hiring and investing in their businesses.”
“Council has recognized that the property tax burden on business owners is a problem, but a one per cent shift is too little too late. Business owners are currently subsidizing 50 per cent of residential taxes – this is unsustainable and not fair. Our property taxes cannot continue to increase,” continued Laurie.
The coalition, representing more than 43,000 Vancouver businesses, was counting on council to cap the business sector’s property taxes to 2005 levels. This recommendation would have meant an additional $57 tax increase – or 15 cents a day – for the average homeowner this year.
City council’s one per cent shift from the business to residential taxpayer means that a home valued at $500,000 will see an extra tax increase of $26, and that a business of the same value will receive a $150 tax increase.
“We believe residents care about their neighbourhood businesses. They shop and work in Vancouver and they think our tax situation is unfair. The increase to residents is the cost of a cup of coffee each month; a small price to pay to keep our neighbourhood businesses viable,” stated Ed Des Roches, Co-Chair of the coalition.
For more information about this issue, visit www.fairtaxcoalition.com. |
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