Your Tax Bill
For the purpose of calculating your taxes, a phased-in assessment amount is used. Where your assessment has increased from previous valuation date, your assessment increase is phased-in over four years (for example, 25% adjustment in each of 2013, 2014, 2015, and 2016). Reassessment related tax increases on commercial, industrial, and multi-residential properties are no longer limited through a cap unless they were capped in 2015 and continue to be capped in 2016 or clawed back in 2015 and continue to be clawed back in 2016. Properties which would move from capping to claw back or vice versa are billed at CVA taxes. For those properties that are capped, the cap is calculated as follows:
The greater of
- 10% of the property's prior year's annualized capped taxes; and
- 10% of the property's prior year's annualized taxes based on current value assessment (CVA);
- If the property is within $500 CVA taxes after the cap is applied, the property will pay taxes at CVA.
The cap is funded through a claw back of assessment related tax decreases. The 2016 claw back rates are as follows:
If the property is within $500 of CVA taxes after the claw back is applied, the property will pay taxes at CVA and receive the full amount of their assessment related decrease.
If your property is capped, your bill contains an "Explanation of Multi-Residential, Commercial and Industrial Property Tax Calculations" section which highlights the capping calculation and the various tax increases for your property.