Coronation town council
New tax incentive bylaws were passed by council at the Coronation town council meeting on Mon., July 18.
According to the new bylaw, new commercial and industrial developments will be rebated property taxes equal to 50 per cent of the value of the current years’ municipal tax levy.
Significant additions to existing buildings may also be considered as eligible for the rebate.
The tax rebate will be applied to the property tax account prior to tax notices being sent out.
Business incentive bylaw
Also, new commercial and industrial developments will be rebated property taxes equal to the value of the current mill rate.
Tax rebates will be made for a period of three consecutive calendar years, unless the property is sold during the three year period.
Residential tax incentive bylaw
In addition, council also amended the residential development incentive bylaw for new residential construction in place of old derelict buildings.
New principal residential properties such as new homes, duplexes, condominiums and apartment buildings will receive a municipal property tax rebate on all land and buildings for properties where dilapidated homes are demolished and replaced with new residential construction.
The rebate will be applied to the municipal portion of the annual tax levy only and will be calculated on the assessment value for the property.
Improvements will be frozen for a one year period following completion of the new construction.
According to the bylaw, rebate of the difference between the annual municipal tax levy calculated at the current years’ assessed value and the municipal tax levy calculated at the “frozen” assessment rate will be applied to the tax roll of the qualifying property.
The “frozen” assessment rate will be the assessed value of improvements on the property in the tax year immediately prior to demolition of the previous structure.
Property owners must submit a written letter of application to council requesting the tax rebate, prior to April 1 of the tax year in which the rebate shall be applied.
Tax rebates shall be granted for the tax year immediately following completion of construction.