This capital gains piece of the budget is wild. We'll see the dumping rental properties on the market. More doctors will retire and sell their practices. The capitalization of the innovation sector will crater (low dividend, high intrinsic spec assets) All before June 26.
Your rental property just had its market value crushed. Want to sell it before June 26th to avoid paying a huge cap gain penalty? The buyer has already priced that penalty into your sale price. The government has just erased significant value in so many Canadian assets.
@stephen_taylor It kicks in June 26? So capital gains after that will be at the new rate?
@stephen_taylor June 25, 2024. Otherwise you’re right.
@stephen_taylor .. and after June- noone will sell anything to avoid paying the tax. They will wait 18 months for a change of government. This tax will not collect anywhere close to $19 billion- just add it to the debt.
@stephen_taylor And blackrock will be right there to scoop up all of those rental properties.
@stephen_taylor In BC Airbnb is banned for secondary residents in a couple weeks