Loading...
HomeMy WebLinkAboutFIN-2021-19 - Applications for Cancellation, Refund, Reduction of Taxes REPORT TO: Council DATE OF MEETING: April 19, 2021 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: April 7, 2021 REPORT NO.: FIN-2021-19 SUBJECT: Applications for Cancellation, Refund, Reduction of Taxes th April 19 Hearing RECOMMENDATION: That the applications to City Council for write-off, cancellation, reduction, or refund of taxes totalling $216,910.04 as attached to Financial Services Department report FIN-2021-19, be approved, pursuant to Sections 354 and 357 of the Municipal Act, S.O. . BACKGROUND: Sections 354 and 357 of the Act allow 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 these sections of the Act. REPORT: Thirty-seven applications for adjustment of taxes under Sections 354 and 357 of the Act were processed, resulting in a net reduction of taxes in the amount of $216,910.04. 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 1-866-969-9994 for assistance. The following table shows a breakdown of the reduction in taxes in this report by the applicable reason. Relevant Total Taxes subsection of the Reason for Application Reduced Act 354(2)(a) Uncollectible taxes $0.00 357(1)(a) Ceases to be liable for tax at rate it was taxed $731.37 357(1)(c) Became exempt $116,467.70 357(1)(d)(i) Razed by fire, demolition or otherwise $34,779.00 357(1)(d)(ii) Damaged and substantially unusable $4,903.42 357(1)(f) Gross or manifest clerical/factual error (in the assessment roll) $0.00 357(1)(g) Repairs/renovations preventing normal use $60,028.55 Total $216,910.04 ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The recommendation of this report supports the achievement of the 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 $51,547.28 and a reduction in BIA levies of $68.94, both of which are accommodated within the 2021 Operating Budget. The City share forms -offs, which carries a net revenue budget of $1.1 million annually. COMMUNITY ENGAGEMENT: INFORM agenda in advance of the council meeting. The required notices to the affected parties were sent out in accordance with the relevant legislation under Section 357 of the Act. ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer.