If you choose to appeal, remember that the last day to file a complaint with the ARB is June 29, 1998. When conducting assessments, assessors will place properties into one of at least seven classes. Municipalities will also be able to invoke an optional class for new multi-residential properties. And while there is no indication that there will be more classes, the Minister of Finance does have the authority to prescribe additional classes. Each of the above classes will be defined in regulation.
Municipalities have the option to set different tax rates for each property class.
While municipalities now have greater flexibility in setting tax rates, their flexibility will be limited by provincial rules relating to transition ratios and ranges of tax ratio fairness. One might describe these ranges as targets or goals. When setting tax rates for the year, a municipality must have regard to its transition ratios in conjunction with the provincial ranges of fairness. If the transition ratio of a class falls within the range of fairness for that class, then the municipality may increase or decrease the ratio, keeping it within the range of fairness, but the municipality cannot move the ratio outside the range of fairness. The intention behind this scheme is to ensure that municipalities do not increase the tax burden on property classes that are already taxed unfairly high in relation to residential properties.