How to Lower Your Property Taxes

Like in any other part of the world, homeowners in Canada also find property taxes extremely burdensome and are rarely satisfied with the tax bill they receive every year for property. Property taxes are not only life long, but also tend to rise steadily over time. However, the good news is that there are a few things that you can do to reduce the burden.

Never assume that your property tax bill is set in stone. If you believe you have been overtaxed, you always have the right to appeal your local assessor’s tax assessment. All that you need to do is a little homework and due diligence.

Thoroughly study and understand your property tax card

Visit your provincial or territorial assessor’s office and request a copy of your property’s tax card. The tax card will provide you with the details of the information the tax assessor has gathered about your home over time, including the size of your home, the number and dimensions of rooms, the number and type of fixtures inside the home, age of your home, as well as details of improvements that you have made over time.

Thoroughly study the card and if you find any discrepancies, document them. These glaring errors can help you have your tax bill reassessed.

Compare your tax bill with your neighbours’

Also compare your property tax assessment to the comparable properties in your neighbourhood. The information about the property tax of your neighbours is public and can be found either online or at the tax assessor’s office. If your house has been overtaxed as compared to the similar homes in your area then you can file a case against the tax assessment.

Notice factors that can negatively impact your property’s vale

Several factors contribute in decreasing the value of a property. These include an active railroad track across the street, a huge bridge just in front of your house, a busy road or a neon sign shining directly into your bedroom. All these factors decline your property’s value, thus lowering your property tax. You should also avoid making any improvements to the property just before assessment.

How long has it been since you bought this home?

If you have recently bought this home and have just shifted, you will be liable to pay a very small amount as property tax. Attach a copy of your purchase agreement with the tax reassessment appeal.

Check for special exemptions

Canadian citizens enjoy property tax exemptions, but these vary widely from jurisdiction to jurisdiction. Check with the local government which exemptions you can avail. Usually, exemptions are for senior citizens, disabled people or those with low incomes.