Innisfail's 2014 Property Tax Bylaw is now law.
On April 14, town council passed second and third readings of the bylaw and assessment and taxation notices will be sent out to property owners by the end of April.
During the council meeting, however, there was concern raised that some residents are confused with this year's earlier declaration from the town that while there is a “zero” tax increase locals will still see higher taxes on their notices.
And that is because there has been growth on the assessed value of properties that is due to market value increases, said Heather Whymark, the town's director of corporate services.
“We did not do a tax increase. It is a zero mill rate increase, which is the calculation used to calculate the taxes. There is a tax increase because of assessment growth. That is the only component that's in there that is requiring your taxes to go up due to the growth of your property.”
Whymark said the average growth in assessment she's seeing is about 2.9 per cent but there are cases as low as one per cent and as high as five per cent.
“There could be properties that get a five per cent depending on where it is at and its growth. We can't say there can't be a five per cent increase because there could be on one or two single properties,” she said. “Other properties might only be one per cent because they are in the area where their assessment did not grow that much.”
Council was told last month residential taxes will increase about $56 for a property assessed at $224,000 while non-residential taxes will increase about $111 for a property assessed at $595,000.
As for the school tax requisition set by the province, it has decreased by $100,000. That will lower the school tax bill for property owners by about $13.
The Seniors Foundation requisition increased marginally from $20,371 to $21,050. However, due to the increase in assessment growth, the rate change is minimal.
Residents will have 60 days to file an appeal on or before June 30. Taxes must be paid without penalty on or before the June 30 deadline.
If payment is made after June 30 and before Sept. 1 there is an eight per cent penalty on the outstanding balance. If taxes are not paid before Sept. 1, there is a further four per cent penalty on the outstanding balance. Taxes not paid before Jan. 1, 2015 are subject to a 12 per cent penalty on the outstanding balance.
