HomeMy WebLinkAboutFIN-20-053 - Applications for Cancellation, Refund, Reduction of TaxesREPORT TO: Committee of the Whole
DATE OF MEETING:August 24, 2020
SUBMITTED BY: Saleh Saleh, Director of Revenue519-741-2200 x7346
PREPARED BY: Feras Abdulhadi, Tax Specialist519-741-2200 x7440
WARD (S) INVOLVED:All
DATE OF REPORT:AUGUST13, 2020
REPORT NO.: FIN-20-053
SUBJECT: Applications for Cancellation, Refund, Reduction of Taxes –
th
August 24
Hearing
___________________________________________________________________________
RECOMMENDATION:
That the applications to City Council for cancellation, reduction, refund of taxes totalling
$1,229,867.64as attached to Financial Services Department report FIN-20-053, be
approved, pursuant to Section 357 of the Municipal Act,S.O. 2001, c. 25 (“the Act”).
BACKGROUND:
Section 357 of the Actallows the local municipality to cancel, reduce or refund all or part of taxes
levied on land in the year in respect of which the application is made for certain specific reasons
as laid out in this section of the Act.
REPORT:
One hundred fifty-oneapplications for adjustment of taxes under Section 357 of theActwere
processed, resulting in a net reduction of taxes in the amount of $1,229,867.64. The required
notices to the affected parties were sent out in accordance with the relevant legislation.
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994for assistance.
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The following table shows a breakdown of the reduction in taxes in this report by the applicable
reason.
Relevant
Total Taxes
subsectionof the Reason for Application
Reduced
Act
357(1)(a)Ceases to be liable for tax at rate it was taxed$68,354.26
357(1)(c)Became exempt$251,709.29
357(1)(d)(i)Razed by fire, demolition or otherwise$333,309.47
357(1)(d)(ii) Damaged and substantially unusable$291,643.43
357(1)(f)Gross or manifest clerical/factual error (in the assessment roll)$97,867.45
357(1)(g)Repairs/renovations preventing normal use $186,983.74
Total$1,229,867.64
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
The recommendation of this report supports the achievement of the city’s strategic vision through
the delivery of core service.
FINANCIAL IMPLICATIONS:
The tax reductions are shared with the Regional Municipality of Waterloo and the School
Boards.The net effect to the City of Kitchener is a reduction in current year revenue, including
a reduction in City leviesof $272,162.53anda reduction in BIA levies of $34,881.26,both of
which areaccommodated within the 2020 Operating Budget.The City share forms part of the
year’s net supplementary taxes and write-offs, which carries a net revenue budget of $1.1 million
annually.
COMMUNITY ENGAGEMENT:
INFORM – This report has been posted to the City’s website with the agenda in advance of the
council / committee meeting.
The required notices to the affected parties were sent out in accordance with the relevant
legislation under Section 357 of theAct.
ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer.
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