Taxing capital gains on homes 'a step too far' for politicians: Ex-CMHC CEO
BNN Bloomberg
"There are lots of options. But politicians just aren’t allowed to have this conversation because the opposition -- and it’s any colour -- will skewer them for it. And so we don’t have the debate that we need to have.”
Former Canada Mortgage and Housing Corporations Chief Executive Officer Evan Siddall sees a laundry list of reasons for sky-high home prices in Canada -- from the dearth of supply, to low rates, to economic fundamentals, to the safety net of mortgage insurance.
He also points the finger at the lack of a capital gains tax on the sale of principal residences. But he is quick to admit that's a no-go for elected officials.
"It's political suicide," Siddall told CTV's Question Period Host Evan Solomon in an interview that aired Sunday.
"You could be allowed to make a certain amount of money tax-free and tax above that," he said about ways that a tax could be implemented in a non-retroactive fashion.
"There are lots of options. But politicians just aren’t allowed to have this conversation because the opposition -- and it’s any colour -- will skewer them for it. And so we don’t have the debate that we need to have.”
Canadians have recently faced an onslaught of reminders that housing affordability is being pushed further out of reach.
