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Elected officials in the US have condemned Canada’s 1% tax on unused housing

A bipartisan group of lawmakers in Washington is urging the State Department to exempt Americans from a Canadian tax aimed at foreign homeowners.

The group wrote to Secretary of State Anthony Blinken, complaining that he unfairly penalizes US citizens who own second homes north of the Ottawa border.

A 1% “deficient housing” tax that took effect at the beginning of the year is intended to discourage foreign real estate speculators from driving up home prices in Canada.

But 11 members of Congress, Democrats and Republicans, from six different states argue that it’s unfair to require America’s homeless to pay the tax.

Mr. They want Blinken to officially register U.S. opposition to the measure and work to exempt Americans who own seasonal second homes.

The move mainly targets properties located in densely populated areas, but properties located in remote areas such as slums are no exception.

Mr. The letter to Blingen was read and published on Friday. “We urge you to work with your colleagues in the Government of Canada to find a solution to exempt Americans from this tax. ยป

Signatories include Republican and Democratic lawmakers from Connecticut, New York, New Jersey, Pennsylvania, Ohio, Virginia, Florida and South Carolina.

The campaign is led by Democratic New York State Representative Brian Higgins, who has also fought to loosen restrictions on shared land borders. Higgins says many of his constituents have owned property in Canada over the years.

He believes the tax is a “disgraceful and unfair attack on Americans who use these properties as a second home rather than as a viable investment.”

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Republican Rep. Claudia Denny called the tax a “misconceived” and “unfair” tax measure that would drive a wedge between Canada and the United States.

Ottawa has offered an extension to Oct. 31, instead of the usual April 30 deadline, to give people more time to decide whether their properties will fall under the new tax. Late payment penalties vary from $5,000 to $10,000.

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