Reduction in municipal taxes and charges
 45. (1) In this section, “base year” means the last completed calendar year immediately preceding the day on which an application under section 133 of the Act is filed with the Board; (“année de base”) “reference year” means the calendar year immediately preceding the base year. (“année de référence”)  O. Reg. 516/06, s. 45 (1). (2) For the purpose of this section, the adjusted costs for municipal taxes and charges for the base year shall be calculated in the following manner: 1.  If municipal taxes and charges for a tax year are decreased as a result of an appeal of a tax assessment, subtract from the base year costs for municipal taxes and charges the amount of the decrease resulting from the appeal. 2.  If a tax notice respecting the reference year municipal taxes and charges is issued on or after November 1 in the base year, i.  subtract from the base year costs for municipal taxes and charges the amount, if any, by which the municipal taxes and charges for the year preceding the reference year exceed the reference year municipal taxes and charges, and ii.  if the reference year municipal taxes and charges are decreased as a result of an appeal of a tax assessment, the amount of the decrease resulting from the appeal shall be taken into account in determining the amount by which the municipal taxes and charges for the year preceding the reference year exceed the reference year municipal taxes and charges for the purpose of subparagraph i, and shall not be subtracted under paragraph 1. 3.  A decrease in municipal taxes and charges as a result of an appeal of a tax assessment shall not be considered under paragraph 1 or 2 if, i.  the decrease is for a tax year before 1996, or ii.  the application for the rent reduction was filed more than 12 months after the decision on the appeal was issued.  O. Reg. 516/06, s. 45 (2). (3) The following are prescribed as the rules for making findings on an application for a reduction in rent due to a reduction in the municipal taxes and charges for the residential complex: 1.  If the reduction in municipal taxes and charges takes effect in the base year, the amount of the allowance is the amount by which the costs for the reference year exceed the costs for the base year. 2.  Otherwise, the amount of the allowance is the amount by which the costs for the base year exceed the adjusted costs for the base year.  O. Reg. 516/06, s. 45 (3). (4) The percentage rent decrease for a rental unit that is subject to an application under section 133 of the Act shall be calculated in the following manner: 1.  Divide the amount of the allowance determined under subsection (3) by the total of the annual rents for the rental units in the residential complex. 2.  Multiply the amount determined under paragraph 1 by 100.  O. Reg. 516/06, s. 45 (4). (5) If the landlord or the tenant does not prove the total of the annual rents for the rental units in the residential complex, the percentage rent decrease shall be calculated in the following manner: 1.  Divide the amount of the allowance determined under subsection (3) by the reference year costs. 2.  Multiply the amount determined under paragraph 1 by 20 for properties that fall under the multi-residential property class as defined in section 4 of Ontario Regulation 282/98 (General) made under the Assessment Act, and 15 otherwise.  O. Reg. 516/06, s. 45 (5). (6) A rent reduction order made under section 133 of the Act takes effect on the first day of the first rental period that commences on or after the date the application was filed with the Board.  O. Reg. 516/06, s. 45 (6). PART VI   general