Reduction of municipal taxes
 41. (1) For the purpose of subsection 131 (1) of the Act, the prescribed percentage is 2.49 per cent.  O. Reg. 516/06, s. 41 (1). (2) For the purpose of section 131 of the Act, “municipal property tax” means taxes charged to a landlord by a municipality and includes taxes levied on a landlord’s property in unorganized territory and taxes levied under Division B of Part IX of the Education Act, but does not include, (a)  charges for inspections done by a municipality on a residential complex related to an alleged breach of a health, safety, housing or maintenance standard, (b)  charges for emergency repairs carried out by a municipality on a residential complex, (c)  charges for work in the nature of a capital expenditure carried out by a municipality, (d)  charges for work, services or non-emergency repairs performed by a municipality in relation to a landlord’s non-compliance with a by-law, (e)  penalties, interest, late payment fees or fines, (f)  any amount spent by a municipality under subsection 219 (1) of the Act or any administrative fee applied to that amount under subsection 219 (2) of the Act, or (g)  any other charges levied by the municipality.  O. Reg. 516/06, s. 41 (2). (3) If the lawful rent for the rental units in a residential complex is to be reduced under subsection 131 (1) of the Act, the reduction in rent shall be determined as follows: 1.  Determine the percentage by which the municipal property tax for the residential complex in the year has been reduced from the municipal property tax for the residential complex in the previous year. 2.  Determine the percentage by which the rent is to be reduced by multiplying the percentage determined under paragraph 1 by 20 per cent 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 per cent otherwise.  O. Reg. 516/06, s. 41 (3). (4) The prescribed date for the purposes of subsection 131 (2) of the Act is December 31 of any year in which the municipal property tax reduction takes effect.  O. Reg. 516/06, s. 41 (4). (5) The prescribed number of rental units for the purpose of subsection 131 (3) of the Act is seven.  O. Reg. 516/06, s. 41 (5). (6) The period within which notification of a rent reduction must be given for the purpose of subsection 131 (3) of the Act is, (a)  between June 1 and September 15 for landlords; and (b)  between October 1 and December 15 for tenants.  O. Reg. 516/06, s. 41 (6). (7) When the notice under subsection 131 (3) of the Act is served on the landlord, it shall be addressed to the landlord or to the owner of the property for tax purposes and when it is served on the tenants, the notice for each tenant shall be addressed to the tenant or occupant of the tenant’s rental unit.  O. Reg. 516/06, s. 41 (7). (8) The notice under subsection 131 (3) of the Act shall be served, (a)  by handing it to the person; (b)  if the person is a landlord, by handing it to an employee of the landlord exercising authority in respect of the residential complex to which the notice relates; (c)  if the person is a tenant, by handing it to an apparently adult person in the rental unit; (d)  by leaving it in the mail box where mail is ordinarily delivered to the person; (e)  if there is no mail box, by leaving it at the place where mail is ordinarily delivered to the person; or (f)  by sending it by mail, by courier or by facsimile to the last known address where the person resides or carries on business.  O. Reg. 516/06, s. 41 (8).