HomeMy WebLinkAboutFIN-20-073 - Cancellation, Refund, Reduction of TaxesREPORT TO:Council
DATE OF MEETING:December 14, 2020
SUBMITTED BY:Saleh Saleh, Director of Revenue,519-741-2200 ext.7346
PREPARED BY:Feras Abdulhadi, Tax Specialist,519-741-2200 ext.7440
WARD(S) INVOLVED:All
DATE OF REPORT:December 7, 2020
REPORT NO.:FIN-20-073
SUBJECT:Applications for Cancellation, Refund, Reduction of Taxes
th
December 14Hearing
RECOMMENDATION:
That the applications to City Council for write-off, cancellation, reduction, orrefund
of taxes totalling $130,331.06as attached to Financial Services Department report
FIN-20-073, be approved, pursuant to Sections354 and 357 of the Municipal Act,S.O.
.
BACKGROUND:
Sections354 and 357 of the Actallow the local municipality to write-off, 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 thesesectionsof the Act.
REPORT:
Eighteen applications for adjustment of taxes under Sections 354 and357 of the Actwere
processed, resulting in a net reduction of taxes in the amount of $130,331.06. The required
notices to the affected parties were sent out in accordance with the relevant legislation.
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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
354(2)(a)Uncollectible taxes$4,521.42
357(1)(a)Ceases to be liable for tax at rate it was taxed$(985.49)
357(1)(c)Became exempt$20,449.57
357(1)(d)(ii)Damaged and substantially unusable$34,145.08
357(1)(f)Gross or manifest clerical/factual error (in the assessment roll)$38,455.68
357(1)(g)Repairs/renovations preventing normal use $33,744.80
Total$130,331.06
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
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 levies of $27,311.80 and a reduction in BIA levies of $6,191.37,
both of which are accommodated within the 2020 Operating Budget.The City share forms
-offs, which carries a net revenue budget
of $1.1million annually.
COMMUNITY ENGAGEMENT:
INFORM
the council 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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