Property Tax. Pay by June 30 to avoid 7% penalty.



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Property Tax Pay by June 30 to avoid 7% penalty.

How your tax bill is calculated Each year, City Council approves the budget required to support City services. From this amount, sources of revenue other than property tax, such as business tax, licence fees, user fees and provincial grants are subtracted. The balance is the amount raised by property taxes. In order to calculate property tax, tax rates are established. The tax rates reflect the amount of taxes to be paid for every $1 of assessed value. The formula used to determine the municipal tax rate: Municipal tax rate = Total revenue required by The City of Calgary from property tax Total assessment The Province of Alberta also establishes a tax rate based on the revenue it requires from property tax. The formula used to determine the provincial tax rate: Provincial tax rate = Total revenue required by the Province of Alberta from property tax Total assessment Your property tax is calculated by multiplying the assessed value of your property by these tax rates. The formula used to determine your property tax bill: Property tax bill = Assessment x municipal tax rate + Assessment x provincial tax rate * * The City of Calgary bills and collects this tax amount for the Province of Alberta

Local improvements Your tax bill may include additional charges for previously approved local improvements. Local improvements include new or replacement construction projects, such as street/ lane paving, driveway crossings, sidewalk replacement and curb/gutter replacement. Local improvement levies include the cost of financing, but may be paid out to The City in any year during the amortization period to avoid further interest charges. Manufactured home property tax Property tax on manufactured homes is based on the assessed value of the home only. The land is assessed separately and notices are mailed to the owner of the land. Liability for payment of the annual property tax is the responsibility of the owner at the time of billing. Supplementary tax bills If a new building or an addition to an existing building is completed during the calendar year, a supplementary tax bill will be issued by the end of the year. The supplementary tax bill will reflect the number of months the building was completed or occupied during the year. To avoid penalties, supplementary tax bills must be paid by the due date shown. If you participate in the Tax Instalment Payment Plan (TIPP), your supplementary tax bill will show the adjusted monthly payment. Changing your mailing address The City s source of property ownership and mailing address information for assessment notices and tax bills is a property s Certificate of Title as registered with the Province of Alberta Land Titles Office. Legal name changes, spelling corrections or mailing address changes must be made directly through the Province of Alberta Land Titles Office. Visit calgary.ca/mailingaddress for further information.

Attention: Non-residential property owners Non-residential properties and business tax consolidation In April 2012, City Council approved the consolidation of business tax with the non-residential property tax, which will result in the elimination of Calgary s business tax by 2019. The consolidation process, which began in 2014, transfers the business tax revenue requirement to the non-residential property tax through annual incremental reductions to the business tax rate. For the 2016 tax year, the non-residential property tax change due to the Business Tax Consolidation will be 4.6%. Business Tax Consolidation Tax Change Non-residential Business property Year tax change tax changes 2013 0% 0% 2014-10% 2.3% 2015-10% 2.3% 2016-20% 4.6% 2017-20% 4.6% 2018-20% 4.6% 2019-20% 4.6% Total 100% 23.0% The business tax will be eliminated in 2019. Visit calgary.ca/btc for more information. See inside for payment methods.

Payment methods with the City Tax Instalment Payment Plan (TIPP) TIPP is a popular program that allows you to pay your property taxes by monthly instalment. Your payment comes out of your chequing account automatically the first day of every month, making budgeting easier and eliminating the risk of a 7% late payment penalty. To join TIPP Don t delay! Request your agreement today. Plan enrolment must be completed by the bill due date to avoid a 7% late payment penalty. Website: calgary.ca/tipp Phone: 311 or 403.268.CITY (2489) You may join at any time during the year; however, to join after January 1 you will need to make an initial payment equal to the missed instalments from Jan. 1, plus a filing fee of 2% of the missed instalments. Already a TIPP participant? If you are a current TIPP participant no additional payment is required at this time. Each year after the taxes are levied your instalment is adjusted to reflect the current year s taxes. Your bill indicates your adjusted monthly instalment. Visit calgary.ca/tipp no later than the 22nd of the month before your next payment to: change your banking information. cancel your TIPP participation for any reason, including selling your property.

Post-dated cheques Reduce the risk of late payment penalties. Drop off, mail or courier your cheque today, post-dated on or before the due date. Ensure your cheque is signed, dated and completed accurately as The City of Calgary is not responsible for errors and/or omissions. Mail Send cheque or money order (do not send cash). Write your property roll number or address on your cheque and enclose the return portion of your bill(s). The Canada Post postmark is honoured as the payment date. Commercial postage meter imprints are NOT honoured. If a Canada Post postmark is absent or illegible, the date received is considered the payment date. The City is not responsible for lost payments. Late payment penalties will apply. Courier Couriered payments are accepted between 8 a.m. and 4:30 p.m., Monday to Friday at the Tax Advisory Services Counter, Third Floor, Calgary Municipal Building. City cashiers Third Floor, Calgary Municipal Building, 800 Macleod Tr. S.E., Monday to Friday, 8 a.m. to 4:30 p.m. Pay by cash, cheque, money order or debit card. When using debit card be aware of your daily withdrawal limit. Credit card payments are not accepted. 24-hour deposit box Located street level near Municipal Building (East Entrance) 801 3 Street S.E. Deposit cheque or money order (not cash). Cheques must be dated for the due date or earlier. Enclose the remittance portion(s) of your bill(s) and write the property roll number on your cheque. Your payment must be in the deposit box prior to midnight of the due date to meet the payment deadline.

Payment methods with your bank Financial institutions Payments can be made through most financial institutions. It is important to know your bank s policies regarding the effective date of payment to avoid a late payment penalty. Important: Check your roll number. The property tax roll number is linked to the property not the owner. Confirm the roll number you have registered with your bank matches your most recent bill before making payment via branch, ATM, online or telephone banking. Owners of multiple properties: register and make payment on each roll number separately. Branch banking in person To pay at your branch have your property tax bill(s) with you. Your bank will register Calgary (City of) Property Tax as the payee and the roll number of each property address as the bill account number. ATM/Bank machine Before paying by ATM you need to have registered Calgary (City of) Property Tax as a payee, either through a branch, internet banking or telephone banking. Register the roll number(s) shown on your property tax bill(s) as the bill account number(s). If you pay by ATM, keep your receipt as proof of the date and time of payment.

Online or telephone To register your property tax bill(s) online or by telephone banking: Search and Select: Calgary (City of) Property Tax in your bank s bill payment menu Account number: enter the nine-digit roll number on your property tax bill Property tax collected as part of your mortgage payment If you pay principal, interest and taxes (PIT) to a mortgage company/bank, the company gets an invoice for your taxes and you receive the original tax bill for your records. The name of the company being invoiced appears on your bill. If you believe you are paying PIT, but the mortgage holder name does not appear on the bill, contact your mortgage holder immediately. If a mortgage holder is named on your bill and they are no longer responsible for your tax payment, you are responsible for paying the taxes on or before the due date to avoid penalty.

Taxes and an assessment complaint If you have filed a complaint against your assessment, you must still pay the taxes by the due date to avoid penalties. If a decision on your complaint results in a lower tax levy, the reduction is credited to the tax account. Interest is credited to the account if the tax reduction results in a credit balance. A refund cheque is automatically issued for accounts with a credit balance greater than $25. Credits of less than $25 remain on the account.

Penalties for late payments Taxes are due June 30. Any account not paid in full as of July 1 is penalized 7% on the unpaid taxes. The penalty is not a daily interest charge but a fixed percentage. For example, if your unpaid taxes are $2,000 on July 1, the penalty is $140. If taxes on your account are still unpaid as of October 1, an additional penalty of 7% of the unpaid taxes is added to your account. Any unpaid taxes and penalties accrued from previous years are charged a penalty of 1% of the outstanding balance on the first day of each month until the taxes are paid. Payments are applied in the following order: arrears penalties, arrears, current penalties and current taxes. Service charges and penalties on payments returned by your bank If your bank does not honour your cheque or TIPP instalment, a service charge of $25 is added to your account. If you are paying for more than one property with a single cheque or TIPP instalment and your payment is not honoured by your bank, an additional service charge of $6.50 is added to each property tax account affected by the non-payment. Service charges are subject to change. Should your returned payment leave your taxes outstanding after the due date, penalties will apply.

Government of Alberta Seniors Property Tax Deferral Program The Seniors Property Tax Deferral Program allows eligible senior homeowners to defer all or part of their property taxes through a low-interest home equity loan with the Alberta government. If you qualify, the Alberta government will pay your residential property taxes directly to the City of Calgary on your behalf. You repay the loan, with interest, when you sell the home, or sooner if you wish. You can apply at any time of year; however, for the Province to pay your property tax on your behalf by the due date of June 30 and avoid penalty, the Seniors Property Tax Deferral Program must receive your application by May 31. For program information, including eligibility and to apply, visit www.seniors.alberta.ca/seniors or call Alberta Supports Contact line at 1.877.644.9992.

Important reminders Taxes are due June 30. A penalty of 7% will be added to any unpaid balance on July 1. This means, for every $1,000 in outstanding taxes $70 in penalty will be charged. If you are making your payment at your bank branch, or by ATM/online/phone banking, it is important to ensure the roll number(s) you have set up on your bank bill payment profile is the same roll number(s) that appears on your tax bill(s). If you are a current participant in the Tax Instalment Payment Plan (TIPP), no additional payment is required at this time. Your property tax bill covers the period Jan. 1 to Dec. 31. How to contact us This brochure is an overview only. For further information regarding property tax please visit our website calgary.ca/propertytax. Customer service is available via: Website calgary.ca/propertytax Phone 311 or 403.268.CITY (2489) Hearing impaired TTY 403.268.4889 Visit Tax Advisory Services Third Floor, Calgary Municipal Building 800 Macleod Tr. S.E., Calgary Our hours for walk-in service are 8 a.m. 4:30 p.m., Monday through Friday. Our staff will be pleased to assist you. Mail The City of Calgary (#8044) P.O. Box 2405, Station M Calgary, AB Canada T2P 3L9 2016-0886