Current Property Tax Rates in Calgary

Property taxes are a vital component of the City’s budget that contribute to many community initiatives like beautification programs, street maintenance, safety projects, and economic development. The City’s tax rates vary from year to year and are calculated on the assessed value of properties in Calgary. The City assesses each property and sets a rate, which is then multiplied by the assessed value to determine the tax rate. Typically, the City’s property tax rate is higher than the provincial tax rate. To get more information on the current property taxes in Calgary click https://www.chamberlaingroup.ca/blog/what-are-the-property-taxes-in-calgary.html.

The City’s property tax rate is set as part of the budgeting process and is adjusted each year to reflect prevailing market conditions and to meet changing demands on services. While the City has increased property taxes in recent years, a study released last month by online realty firm Chamberlain Real Estate Group ranked Calgary as having one of the lowest residential property tax rates in Alberta for 2022.

A typical residential property in the City of Calgary has an assessed value of $610,000. The assessment value is determined by using a mass appraisal approach that evaluates all properties on the same date in July each year and relies heavily on neighbourhood sales comparisons. However, this method may overlook unique features of your home, such as recent renovations and a desirable location. To know more visit: https://www.chamberlaingroup.ca/blog/what-are-the-property-taxes-in-calgary.html.

Commercial property owners in Calgary are feeling the pain as well, with the City’s municipal portion of their property tax increasing by three per cent this year. That increase is due to the provincial government increasing its share of the education tax requisition, which the City passes on to non-residential property owners.

As the City prepares to send out property tax bills for 2024, administration is recommending a change to the City’s tax sharing formula between businesses and homeowners. Currently, for every dollar of commercial property value, business owners pay 4.26 times as much in municipal property taxes as residential homeowners, compared to the province’s legislated ratio of five to one.

For the first time in seven years, the City’s property tax increases have been higher than the rate of inflation. That’s largely because the City has been spending more on public services than ever before. For example, in 2011 the City spent $1 billion more on operating costs than it would have under population growth and inflation alone.

As the City continues to spend more on public services, the need for property taxes will continue to grow. That’s why it’s important to understand the complexities and benefits of property taxes in order to make informed financial decisions for your personal and business needs. Chamberlain Real Estate Group experienced team can help you navigate the City’s complex property tax system and provide personalized guidance to minimize your property tax bill. For more information, contact us today!