• Commencing on January 1, 2006 the Municipal Property Assessment Corporation will be reassessing annually. Therefore, property owners can expect that their assessed value will change annually.
• The Ontario Government has changed the vacant units and excess land policy for the year 2001 and forward. This policy is a point in time program and the owner is allowed to go to the municipality only twice during the year. One thing is clear, the owner of the property should keep track of all their vacancies and make application at the end of the year for an adjustment in taxes. The Municipal Property Assessment Corporation assumes that all property is occupied and at the beginning of each year and the onus is still on the owner to ensure that they apply for this vacancy adjustment. The excess land provision has also been changed. If you have excess land on your property that is not used for business purposes or any other use, it should be taxed as excess land tax rate depending on your tax classification. If you have hired a consultant to look after your assessment, you should ask them about the vacant units and excess land provisions.
• The Municipal Property Assessment Corporation has changed the base year valuation date to January 1st, therefore, the reassessed values for all property for taxation year 2006 willl be based on January 1, 2005 valuation and each year the valuation base year value will move one full year. Last date for appeal of these values is March 31st of each year. If you miss this appeal date all is not lost, you can still apply under the Request for Reconsideration process. If you can convince the assessor that the value is too high then an adjustment will be made retroactive back to January 1st of that taxation year. From my experience, it would be to your advantage to have a consultant make this request, since they know what the assessor is looking for when describing the errors in the value.
• Things most property owners should do for the next reassessment.
  • Hire a property tax consultant to advise you. The cost is rather insignificant for the potential tax savings that you may realize.
  • Take current photos of your buildings and property.
  • Create a property assessment file for correspondence with the Municipal Property Assessment Corporation (MPAC).
  • Never send any information to MPAC until your consultant has reviewed the request.
  • Make a list of properties that have sold in your area.
  • Keep track of any construction costs and contracts for new buildings and yard improvements.
  • Maintain building plans for future reference.
  • If you are an industrial property never build an addition or new building without talking to your consultant. This could cost you dearly in taxes if you make certain mistakes.
  • Multi-residential property owners should not add additional units on to their property without first talking to your consultant. Again, it could increase your overall tax rate.
  • Any nuisances near or adjacent to your property should be documented and photographs taken for future reference. These nuisances can reduce your property value and your taxes.
• Property tax bill versus Assessment Notice: Do not confuse your property tax bill with your assessment notice, if you wait to receive your tax bill before you decide to complain about your taxes it may be too late to appeal your assessment. These two notices are two entirely different things. Many people wait until it is too late to appeal their assessment and thus end up paying taxes on property values that are too high. Your assessment notice is your first line of defence against high property taxes.
• Last date for appealing your property assessment is March 31 for each year unless extending by Ontario regulation.
• If you demolished a building or had it razed by fire in the past year, you have until the last day of February in the following year to apply for a tax rebate on your previous year's taxes. This rebate would be based on the value of the building that was demolished. In certain instances, you may make application for the two preceding years as well which would allow you to receive a tax refund for three years. I would be glad to ensure that you get the tax reduction that you deserve if you need assistance.
• Change in Use: If you had a change in use from commercial / industrial, to residential or otherwise then your taxes could be too high. Ask your consultant, I can assist in getting this change reviewed by the assessor and your taxes lowered.
• The Ontario Government has opened up the assessment values for review for the entire year. This allows property owners to ask for a reconsideration of their assessment even after the last date for an appeal. However, in most cases the assessor will not alter your value unless they find a clerical or mathematical error. Errors of judgement in most cases will not be dealt with under this regulation. A consultant who knows the assessor's manual has a good chance of finding such an error and therefore, be successful in getting the reconsideration approved by the assessor. It should be recognized though that this is a last line of defence only after the appeal date has passed. The assessor may completely ignore your request and you have no recourse.