Real estate, low dollar keep B.C. in the black

Property transfer tax up $150 million from spring budget, tourism and movie business surge due to 75-cent Canadian dollar

Finance Minister Mike de Jong

The B.C. government expects to finish the fiscal year next March with a $265 million surplus, thanks to surging property transfer tax revenues and a lower Canadian dollar that helps everything from tourism to the movie and TV industry.

Government revenues have declined due to lower natural gas, metals and other natural resources, Finance Minister Mike de Jong said Tuesday in his second quarter financial update. But with a continued hot real estate market in southwestern B.C. and housing starts running above average, property purchase tax revenue is $150 million ahead of the February budget forecast.

Retail sales are running 7.2 per cent ahead of last year for the period of April to August, with vehicle and parts sales up 9.5 per cent and food and beverage up 7.5 per cent.

De Jong said the Canadian dollar, currently trading at 75 cents U.S., has cut down on cross-border shopping trips from B.C. and contributed to a rebound of tourism, which along with stronger employment has helped increase retail sales.

The dollar exchange rate has also led to an increase in movie and TV production, which costs the province because of the big tax incentives offered to lure foreign productions here.

Foreign movie companies get a 25 per cent tax rebate for all spending on labour in the province, and the latest estimate is those credits will climb to a record $514 million for the current year. De Jong said B.C. remains competitive in the movie business despite Ontario increasing its tax credits in 2009 to cover 25 per cent of all spending by foreign movie and TV production companies.

Forest fire expenses were higher than average this year, but not as high as expected earlier in the season.

Exports from B.C. are down overall, with economic growth projections downgraded for the U.S., Canada, China and Japan, which de Jong said is now back in a recession.

 

Just Posted

‘We think the democratic process is eroding’: Czech family visit Revelstoke promoting new voting method

In the Janeček voting method, voters can cast both positive and negative multiple votes

Revelstoke RCMP seize $1.9 million from ‘erratic’ driver

The driver and passenger were detained under the Controlled Drugs and Substances Act

Liberals’ Kootenay-Columbia candidate stands by Trudeau despite scandal

Robin Goldsbury says the prime minister’s racist photo is a learning opportunity

Revelstoke athletes bring home 16 medals from 55+ BC Senior Games

The event took place in Kelowna Sept. 10-14

Maggie ‘May’ Davis’ CD release concert next week in Revelstoke

Davis had the most attended concert at Street Fest this summer

VIDEO: Trudeau asks Canada to look to current, not past, actions on race

Liberal leader says he never spoke about the racist photo because he was embarrassed

Photos surface of Conservative candidate at B.C. event with people in blackface

The controversial “Black Peter” character has been a feature at Sinterklaas celebrations

B.C. Liberal leader says private sector development will help housing affordability

Andrew Wilkenson spoke in Kelowna during a real estate conference

Legislature gifts, clothing, travel need better control, B.C. auditor says

Audit follows suspensions of managers by Speaker Darryl Plecas

‘Really disturbing:’ Trudeau’s racist photos worry B.C. First Nation chief

Wet’suwet’en Chief concerned the photos will sow fear in Indigenous communities

Human case of West Nile virus reported in Okanagan

B.C. Centre for Disease Control confirmed case reported in August

Murder charges laid after body pulled from Fraser River ID’ed as missing man

Accused also face one count each of attempted murder in connection with Rudy Johnson Bridge incident

‘I felt betrayed’: North-Okanagan Shuswap candidate responds to Trudeau brownface photo

Harwinder Sandhu dismisses comments that there are bigger issues to focus on

B.C. salmon farm inspection deal reached with Indigenous people

Monitoring to determine if any Broughton region farms stay open

Most Read