Vancouver's Real Estate Market

[westopher]

Originally Posted by Traum

Parents regularly give money to their children regardless of whether they are minor or adult children, and people regularly give money to their lovers and such as well. It is money changing hands and ownership as well. But no government would dare to try imposing a tax on this sort of transactions, nor is it possible (practical / viable / enactable) to do so.

So why should it be any different just bcos the giver is dead? The taxation can be easily avoided by simply giving the money away before the giver dies. So I don't really see the point of legislating something like an inheritance tax or probate fee when such an easy and entirely legal workaround can be used to avoid the tax.

Consumption tax is not necessarily a bad thing. Essential items should not get taxed, and we practice that to a certain extent here in Canada.

You are correct that generational wealth is spiraling out of control, contributing to an ever worsening wealth inequity around the world. However, I don't believe in inheritance tax or probate fees being the solution to address this. IMO a far more effective solution would be a general wealth tax, ideally one that involves as many countries in the world as possible. (But of course, that'll never fly.) The rationale for that is pretty simple -- when you become sufficiently wealthy, society expects you to bear a greater responsibility to look after the well being of other less fortunate individuals.

Oh hell yes give me that wealth tax and everything I wanted is taken care of. We agree 100% on that.

[Badhobz]

^no… plz don’t….

[westopher]

They aren’t gonna take your 40k Lexus bro you’ll be fine.

[noclue]

We shouldnt celebrate new taxes wtf, it never motivates the government to cut spending and be efficient if they can constantly find new ways to get revenue.

Foreigner buyer tax, spec and vacancy tax did nothing for lowering house prices and it was just to placate the "local canadian" who drove past a pre-sales and saw everyone in line had black hair and small eyes.

[Great68]

Spec tax along with airbnb ban certainly had an impact in lowering rents.

[westopher]

I’m not celebrating new taxes. I’m talking about replacing taxes.

[jing]

Way overpriced at $2.8M but a cool property nonetheless

https://www.zealty.ca/property/BC/Ma...T-mls_R3024714

[Badhobz]

There’s more work shop space and garage than actual living space / house lawl.

[supafamous]

Originally Posted by westopher

I’m not celebrating new taxes. I’m talking about replacing taxes.

I'm for not only replacing taxes but for new taxes and the wealth tax is an inevitable tax. The ways people make money have changed over the years and making money from investments is increasingly more common than money from "working" (salary income). Those investments are given highly preferential tax treatment than the typical working stiff (even high earners like doctors or lawyers or tech workers).

Income taxes and consumption taxes are relatively new taxes - Canada didn't have income taxes till 1917, we didn't have a national sales tax till 1991 (replacing the MST) - so it shouldn't be weird to introduce a new type of taxation. A wealth tax (say .1% of your assets above $1m - just a wild ass guess - would not cause much pain for the wealthy).

As for new taxes - we're living well beyond our means (deficit spending) AND we're not funding investments adequately for the future AND we don't really pay that much in taxes (we rank around the average or even below the average for taxes among developed nations by most accounts). We need more sources of revenue to fund our public services or we're going to be headed into the 90's once again (when we had brutal cuts due to a debt to GDP ratio that was unsustainable).

[Badhobz]

^no…. Plz don’t…

[JDMDreams]

Yea we pay enough taxes while alive already, if you want to tax dead people just Max out their visa and locs and don't pay it back. It's gonna worsen the brain drain + capital drain from Canada. All we will have left is the two kinds of Indians.

[Euro7r]

My dad has this stuck up mind where he thinks government will cut his old age benefits if he has too much money in the bank. He never will understand they don't check that stuff, only your tax return what you report. So he's OCD to point he gives me money time to time, and leaves bare minimum to pay bills/rainy days. I'm like okay sure, fuck yeah give it all to me then LOL. I'll let him keep this belief as long as he likes lmao.

[noclue]

France already tried that wealth tax and everyone rich ran away to monaco so they had to cancel it. doesnt work, great in theory for the eat the rich crowd though. Plus it’ll be political suicide in Canada

[CivicBlues]

Originally Posted by Euro7r

My dad has this stuck up mind where he thinks government will cut his old age benefits if he has too much money in the bank. He never will understand they don't check that stuff, only your tax return what you report. So he's OCD to point he gives me money time to time, and leaves bare minimum to pay bills/rainy days. I'm like okay sure, fuck yeah give it all to me then LOL. I'll let him keep this belief as long as he likes lmao.

Well he's not lying, OAS is clawed back based on income. So if your dad has a ton socked away in RRSP and he hits age 71 when he needs to convert it to RRIF, boom he might suddenly have too much "income" now to qualify for full OAS.

[Badhobz]

or he can be like my dad, you know actually broke and milk OAS/GIS/CPP. Between him and my mom they barely pull in 4k a month. Luckily, their stupid apartment is paid off so i guess its only the 400 dollar maintenance fee and utility bills they gotta worry about.

worst chinamens ever! no wonder our family back in shanghai thinks we are all ghetto trash. they are absolutely right.

[supafamous]

Originally Posted by CivicBlues

Well he's not lying, OAS is clawed back based on income. So if your dad has a ton socked away in RRSP and he hits age 71 when he needs to convert it to RRIF, boom he might suddenly have too much "income" now to qualify for full OAS.

Clawback doesn't start till $93k and isn't complete till around $150k and the RRSP to RRIF transfer doesn't trigger any new taxes, it just forces him to withdraw regularly (and at age 71 I'd hope he was smart enough to start regularly withdrawing).

[6793026]

Originally Posted by JDMDreams

I don't get white boomers waiting till they die to payout kids. Isn't it a huge tax bill. Asians usual add their kids onto everything before they die. Also what kinda loser are you if you don't at least try to be richer than your parents. Who literally did nothing than buy a house. We literally have a million more ways to make money now a days than parents generation.

There are SOOO many fookers that i woudl never ever tell parents to pay out.

My cousin had the audacity to go to their 75 yr old parent "i want to take my family of 4 - kid is 5 and 9 to HK, please take out your GIC that's 20k and give / lend to me" WTF

Family friend married 2nd time and sent mother in law at old age home (it was agreed as she was almost blind); he thought, man, your mom is in her mid 80s.. she might be there for 2-3 yrs. Well she outlived the daughter (cancer) and didn't pass away until early 90s. That's a sold 8-10 yrs of 2-3000 a month (back 20 yrs ago) of old age home fees.

SOmetimes it's just good to hold on to their money. There is a chinese saying "Even your blood born son won't be as valuable as your cash onhand).

Good luck asking your son if you can move in and having them take care of you without cash.

GOod luck getting someone to wipe your butt when you have dementia.

I tell my parent, do not give me anything or my brother. I made a bond with wife that we will have parents move in with us anytime but regardless.. dont' give us money, your presence / dim sum / dinner with us is all we need.

Originally Posted by Badhobz

^lawl, isnt your kids like fucking super young? you should wait till these little fuckers are in their 20's/30's so you can evaluate whether or not they deserve anything. If they turn out to be absolute dog shit kids, then you can take all your money and go spend it on yourself ala reverse mortgage, etc.

[CivicBlues]

Originally Posted by supafamous

Clawback doesn't start till $93k and isn't complete till around $150k and the RRSP to RRIF transfer doesn't trigger any new taxes, it just forces him to withdraw regularly (and at age 71 I'd hope he was smart enough to start regularly withdrawing).

But those RRIF withdrawals count as income, no? And if he has any other income say from PT work or rental income, that gets added on too and might put him over the 93K threshold.

[Gumby]

Originally Posted by 6793026

I tell my parent, do not give me anything or my brother. I made a bond with wife that we will have parents move in with us anytime but regardless.. dont' give us money, your presence / dim sum / dinner with us is all we need.

If it's her parents, that's ok. But if it's your parents, don't do it if you value your marriage. Having the in-laws living with the wife is a recipe for disaster...

[Euro7r]

Originally Posted by CivicBlues

Well he's not lying, OAS is clawed back based on income. So if your dad has a ton socked away in RRSP and he hits age 71 when he needs to convert it to RRIF, boom he might suddenly have too much "income" now to qualify for full OAS.

He has zero other income such as RRSP. I was referring in my dad case just simply cash in his savings account (which is from old age government money he gets monthly). Every once in a while, he comes to me and be like "oh shit, too much cash in savings, I think government might reduce what they give me money, let me give you some cash. Perfect, send that right over dad LOL. On a more serious note, this is actually a good strategy in a sense, if he passes away don't have to worry he has a big wad of cash stuck inaccessible until all the probate shit goes through (and also paying probate on a big amount of assets).

I find this inheritance/estate planning stuff very complicated, more complicated when you have own property and then married. My in laws even more insane, traditional belief if they write a "Will", it's like indicating they will die soon, so they refuse to do a Will or have any plans to give a "dime of their assets" to their kids. Dad in law will even go as far as asking for $20 back if he bought something for the kids.

[noclue]

Originally Posted by Gumby

If it's her parents, that's ok. But if it's your parents, don't do it if you value your marriage. Having the in-laws living with the wife is a recipe for disaster...

I always wonder how buddy guys convince their wives to live with not only their parents but their grandparents and aunts/uncles/cousins as well.

[whitev70r]

^ that's nothing! I always how modern buddy gals succumb to arrange marriages in this era of 2020 in Canada !!!

If you are willing to do arranged marriage, having parents, uncles, aunts live with you is part of the package.

[supafamous]

Originally Posted by CivicBlues

But those RRIF withdrawals count as income, no? And if he has any other income say from PT work or rental income, that gets added on too and might put him over the 93K threshold.

Yes it does but that's no different than withdrawing when it's a RRSP except that the gov't forces you to withdraw a minimum amount every year - this is sort of a good thing in that if you don't your beneficiaries will be hit with a giant tax bill when you pass b/c the remaining funds will be taxed all at once. For most people the tax impact of the annual withdrawals is pretty minimal - if you have a $500k RRSP you have to take out $27k (5.4%) when you are 72 years of age. There might be a some folks who still work and make enough to pay meaningful taxes but that's going to be pretty rare (and a good problem to have)

https://www.woodgundy.cibc.com/en/re...ithdrawal.html

[6793026]

Originally Posted by noclue

I always wonder how buddy guys convince their wives to live with not only their parents but their grandparents and aunts/uncles/cousins as well.

what you no brown? that's the standard LOL

Originally Posted by whitev70r

^ that's nothing! I always how modern buddy gals succumb to arrange marriages in this era of 2020 in Canada !!!

If you are willing to do arranged marriage, having parents, uncles, aunts live with you is part of the package.

One of my BFF is paki and his buddy said "i'm expecting a call" and can't come out to a social outing = a) either someone is dying b) arrange marriage.

It's true. Do you know the opposite to arrange marriage, it's LOVE marriage. It's reality and a practice we as westerners won't understand.

Arrange marriage above happened in 2007. Heck, my boss is 40+ and his marriage was arranged. It's still practiced. A short summary someone said, you really have to choose to love someone and learn to love and find ways to love. You have to ignore the faults and focus on their pros.

None of these "i'm breaking up with you BS cause you didnt' pay for dinner".

[bcrdukes]

noclue is Indian? I must be blind!