Phase-in of 1998 assessment-related changes
372.(1)On or before December 31, 1998 or such later deadline as the Minister may prescribe either before or after the December 31 deadline has passed, the council of a municipality, other than a lower-tier municipality, may pass a by-law to phase-in a 1998 assessment-related tax increase or decrease as determined under section 372.1. 1997, c. 5, s. 55; 1998, c. 3, s. 21 (1); 1998, c. 33, s. 18 (1). (2), (3)Repealed: 1998, c. 3, s. 21 (2). Application to lower-tiers (4)A by-law under subsection (1) of an upper-tier municipality also applies with respect to the taxes of its lower-tier municipalities. 1997, c. 5, s. 55. By-law requirements (5)A by-law under subsection (1) is subject to the following: 1. The first year in which a 1998 assessment-related tax increase or decrease is phased-in must be the 1998 taxation year and the last year must be the 2005 taxation year or an earlier taxation year. 2. If the by-law is phasing in a 1998 assessment-related tax increase, the following adjustments shall be made to taxes for a property for a taxation year, i. the 1998 assessment-related tax increase shall be subtracted from the taxes, ii. the amounts phased-in in each of the previous years shall be added to the taxes, and iii. the amount to be phased-in in the current taxation year shall be added to the taxes. 3. If the by-law is phasing in a 1998 assessment-related tax decrease, the following adjustments shall be made to taxes for a property for a taxation year, i. the 1998 assessment-related tax decrease shall be added to the taxes, ii. the amounts phased-in in each of the previous years shall be subtracted from the taxes, and iii. the amount to be phased-in in the current taxation year shall be subtracted from the taxes. 4. The amount to be phased-in in a year, other than 1998, must be the same or less than the amount phased-in in the previous year. 5. The amount phased-in in the last year in which an 1998 assessment-related tax increase or decrease is phased-in plus the total of the amounts phased-in in the previous years must equal the 1998 assessment-related tax increase or decrease. 6. The by-law must set out, for each property with respect to which the by-law applies, the 1998 assessment-related tax increase or decrease. 7. The by-law may treat different property classes differently and it may provide for no phase-ins for some classes. However, if the by-law applies to property in a property class it must apply to all properties in the property class. 8. For each property class for each year, the adjustments made under the by-law must not affect the total taxes for municipal and school purposes on the land in the municipality that is in the property class and that is rateable for municipal purposes. For the purposes of this paragraph, the residential/farm property class, the farmlands property class and the managed forests property class prescribed under the Assessment Act shall be deemed to be a single property class. 1997, c. 5, s. 55; 1997, c. 29, s. 42 (2); 1998, c. 3, s. 21 (3). If change in use, character, classification of land (6)If there has been a change in the use or character of any land or in its classification under the Assessment Act that, in the opinion of the council of the municipality, makes a phase-in or the continuation of a phase-in in respect of such land inappropriate, the council may in the by-law under subsection (1) or in another by-law exclude such land from the application of the phase-in. Improvements replaced after scheme begins (7)If an improvement to a property is substantially destroyed before a by-law under subsection (1) is passed and, before the end of the last year in which an increase or decrease is phased in, the improvement is replaced, the council of the municipality may amend the by-law under subsection (1) so that the by-law applies to the property as though the improvement had not been substantially destroyed. Same (8)Subsection (7) does not apply with respect to an improvement if the destruction of the improvement is by the owner, is permitted by the owner or is done by a person who had a right to destroy the improvement. 1997, c. 5, s. 55. Sharing so that no surplus or shortfall (9)The council of an upper-tier municipality that passes a by-law under subsection (1) shall pass a by-law requiring adjustments between the upper-tier municipality and the lower-tier municipalities so that neither the upper-tier municipality nor any lower-tier municipality has a surplus or shortfall as a result of the phase-in of 1998 assessment-related tax increases or decreases. 1997, c. 29, s. 42 (3). Information on tax bill (10)A notice of demand of taxes payable in respect of which there is a phase-in shall indicate the amount of taxes that would have been payable without the phase-in, the amount of taxes that are payable, and the difference. 1997, c. 5, s. 55. Application to payments in lieu of taxes (11)This section applies with respect to payments in lieu of taxes, other than an amount referred to in subparagraph ii of paragraph 24 of subsection 3 (1) of the Assessment Act or an amount received under section 157 or subsection 158 (4) of this Act, as though they were taxes. However, a by-law under subsection (1) may provide that it does not apply with respect to payments in lieu of taxes. 1998, c. 3, s. 21 (4); 1998, c. 33, s. 18 (2). Taxes for school purposes (12)No phase-in of a 1998 assessment-related tax increase or decrease under this section affects the amount a local municipality is required to pay a school board. 1997, c. 29, s. 42 (4). Certain changes in 1998 assessment (13)The following apply if the assessment of a property for 1998 changes as a result of a complaint or appeal under section 40 or 46 of the Assessment Act: 1. The 1998 assessment-related tax increase or decrease for the property shall be redetermined under section 372.1, subject to paragraph 2, using the new assessment for the property. 2. For the purposes of determining the 1998 assessment-related tax increase or decrease for the property or for any other property, none of the following amounts shall be changed as a result of the change in the assessment of the property, i. the 1998 upper-tier assessment (class) in subsection 372.1 (4), ii. the 1998 local assessment (class) in subsection 372.1 (5), iii. the 1998 school assessment (class) in subsection 372.1 (6), and iv. the 1998 special assessment (class) in subsection 372.1 (7). 3. The taxes on the property shall be recalculated using the amount determined under paragraph 1 for each year in which there is a 1998 assessment-related tax increase or decrease. 4. The collector’s rolls shall be amended to reflect the recalculated taxes. Certain changes in 1997 assessment (14)The following apply if the assessment of a property for 1997 changes as a result of a complaint or appeal under section 40 or 46 of the Assessment Act: 1. The 1998 assessment-related tax increase or decrease for the property shall be redetermined under section 372.1, subject to paragraph 2, using the new assessment for the property to determine the 1997 taxes on the property in subsections 372.1 (4) to (7). 2. For the purposes of determining the 1998 assessment-related tax increase or decrease for the property or for any other property, none of the following amounts shall be changed as a result of the change in the assessment of the property, i. the 1997 upper-tier taxes (class) in subsection 372.1 (4), ii. the 1997 local taxes (class) in subsection 372.1 (5), iii. the 1997 school taxes (class) in subsection 372.1 (6), and iv. the 1997 special taxes (class) in subsection 372.1 (7). 3. The taxes on the property shall be recalculated using the amount determined under paragraph 1 for each year in which there is a 1998 assessment-related tax increase or decrease. 4. The collector’s rolls shall be amended to reflect the recalculated taxes. Mixed use (15)If portions of a property are classified in different property classes on the assessment roll for 1998, each portion shall be deemed to be a separate property for the purposes of this section. 1998, c. 3, s. 21 (5). Regulations (16)The Minister may make regulations prescribing a later deadline for the purposes of subsection (1). Regulations can be specific (17)A regulation under subsection (16) may be general or specific in its application and may be limited to specific municipalities. 1998, c. 33, s. 18 (3).