HomeMy WebLinkAboutFIN-2024-161 - Applications for Cancellation, Refund, Reduction of TaxesFinancial Services Department www.kitchener.ca
REPORT TO:Committee of the Whole
DATE OF MEETING: April 29, 2024
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 15, 2024
REPORT NO.: FIN-2024-161
SUBJECT: Applications for Cancellation, Refund, Reduction of Taxes
RECOMMENDATION:
That the applications to City Council for write-off, cancellation, reduction, or refund of
taxes totalling $148,189.02 as attached to Financial Services Department report FIN-2024-
161, be approved, pursuant to Sections 354 and 357 of the Municipal Act, S.O. 2001, c. 25
.
Click or tap here to enter text.
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:
Forty-five requests for tax adjustments under Sections 354 and 357 of the Act were reviewed
and processed. Additional statistics related to these applications are as follows:
35 applications were approved for adjustment resulting in a total tax reduction of
$148,189.02.
5 applications were declined for an adjustment for reasons such as an absence of a
building permit or other documentation in support of the application.
5 applications were returned by MPAC without any recommended changes to the
assessment.
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
357(1)(a) Ceases to be liable for tax at rate it was taxed $10,106.72
357(1)(c) Became exempt $124,435.53
357(1)(d)(i) Razed by fire, demolition or otherwise $12,812.05
S.357 Tax only Adjustment $834.72
Total $148,189.02
STRATEGIC PLAN ALIGNMENT:
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 $34,117.50, and a reduction in BIA levies of $13,182.43 dollars, both
of which are accommodated within the 2024 Operating Budget. The City share forms part of the
-offs, which carries a net revenue budget of $1.1 million
annually.
COMMUNITY ENGAGEMENT:
INFORM
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.