Abbotsford scales back tax hike

Abbotsford scales back tax hike

City plans tax revenue increase of 2.12% rather than 2.97%

Abbotsford property taxes are going up a little less than previously planned in a move that leaves about $20 more money in the wallet of an average homeowner.

The City had planned to increase the amount of tax revenue it collects from taxpayers by 2.97 per cent. But on Monday, council approved a 2.12 per cent increase.

Staff said the change in the task was because of COVID-19-related “financial uncertainty” for residents and businesses.

A smaller tax increase will save each property owner a few bucks come tax time. The owner of a typical single-family house will pay about $75 more in taxes than last year (assuming the home’s valuation changed in accordance to the city-wide average). That’s compared to about $95 more at the former rate.

The precise change in one’s tax bill depends on how their property’s valuation changes compared to the city average.

RELATED: Your home probably went down in value, but your taxes may still go up

RELATED: Mayor says Abbotsford has enough cash – and banks already have many residents’ tax money

In total, the change is expected to reduce the city’s tax revenue by about $1.3 million.

For the last six years, the city has increased the amount of tax revenue it collects from residents at approximately the rate of inflation. Increases to the police budget had been slated to push this year’s tax increase slightly above that inflationary rate. The move to drop the tax ask will leave it below the rate of inflation.

The city also moved to waive penalties for the late renewal of business licences, halt interest charges on overdue accounts receivable, and stop charging returned-payment fees.

Those measures are expected to reduce revenues by about $50,000.

The province has already waived late-payment penalties for most classes of business property taxes. Those taxpayers now have until October to pay their taxes without incurring a penalty, although Mayor Henry Braun said those who can pay in July should do so.

“I think that our biz will cert appreciate this,” Coun. Sandy Blue said. “We know there’s a tremendous amount of hardship, not only in Abbotsford but around the globe, and finding ways we can help in places where we can is going to be very much appreciated.”

Late-payment penalties for homeowners haven’t yet been waived by the province. Braun suggested that may be linked to the fact that many people pay their taxes incrementally alongside their mortgage payments, so most residents have already paid the majority of their tax bills to financial institutions.

Braun said the city may proceed as planned up to July, see how many residents are able to pay their taxes, then consider whether to waive penalties.

“There are those who are going to struggle paying property taxes,” Braun said.

Do you have something to add to this story, or something else we should report on? Email:
tolsen@abbynews.com


@ty_olsen
Like us on Facebook and follow us on Twitter

Just Posted

An apartment building and townhouse project has been proposed at 2236 McCallum Rd. in Abbotsford. The development was given third reading by city council on June 14. (City of Abbotsford)
Apartment-and-townhouse project planned on McCallum Road in Abbotsford

Development across from old hospital site consists of 174 suites and 10 townhouses

Adam Hobbs went missing from a Langley work site on Monday, June 14 and may have gone to Vancouver. (Special to the Langley Advance Times)
Family, RCMP seek Abbotsford man missing from Langley job site

Adam Hobbs lives in Abbotsford and is a minor hockey referee

Police were on scene Monday afternoon (June 14) in the area of George Ferguson Way and Ware Street. (John Morrow/Abbotsford News)
Police called out after reports of possible home invasion in Abbotsford

Incident on Monday afternoon at George Ferugson Way and Ware Street

Migrating sockeye in the Fraser River August 7, 2007. (Fisheries and Oceans Canada)
First Nations, commercial, and recreational harvesters join forces to save Fraser River fish

‘We have to work together to rebuild these stocks while there is still time,’ says delegate

The Vancouver Canucks have polled season ticket holders on team name options for the new Abbotsford AHL team.
Vancouver Canucks poll season tickets holders on Abbotsford AHL team name

List asks fans to rank three out of 10 options, also if Abbotsford or Fraser Valley should be used

People watch a car burn during a riot following game 7 of the NHL Stanley Cup final in downtown Vancouver, B.C., in this June 15, 2011 photo. THE CANADIAN PRESS/Geoff Howe
10 years ago: Where were you during the 2011 Vancouver Stanley Cup Riots?

Smashed-in storefronts, looting, garbage can fires and overturned cars some of the damage remembered today

(Black Press Media file)
Dirty money: Canadian currency the most germ-filled in the world, survey suggests

Canadian plastic currency was found to contain 209 bacterial cultures

(pixabay file shot)
B.C. ombudsperson labels youth confinement in jail ‘unsafe,’ calls for changes

Review states a maximum of 22 hours for youth, aged 12 from to 17, to be placed in solitary

Eleonore Alamillo-Laberge, 6, reads a book in Ottawa on Monday, June 12, 2017. THE CANADIAN PRESS/Sean Kilpatrick
Parents will need to fight ‘COVID learning slump’ over summer: B.C. literacy experts

Parents who play an active role in educating their children this summer can reverse the slump by nearly 80%, says Janet Mort

The border crossing on Highway 11 in Abbotsford heading south (file)
Western premiers call for clarity, timelines on international travel, reopening rules

Trudeau has called Thursday meeting, premiers say they expect to leave that meeting with a plan

The B.C. government’s vaccine booking website is busy processing second-dose appointments, with more than 76 per cent of adults having received a first dose. THE CANADIAN PRESS/Jonathan Hayward
B.C.’s COVID-19 infections, hospitalizations stable for Tuesday

108 new confirmed cases, 139 in hospital, 39 in intensive care

A worker, at left, tends to a customer at a cosmetics shop amid the COVID-19 pandemic Thursday, May 20, 2021, in Los Angeles. (AP Photo/Marcio Jose Sanchez)
Half of cosmetics sold in Canada, U.S. contain toxic chemicals: study

Researchers found that 56% of foundations and eye products contain high levels of fluorine

White Rock’s Marine Drive has been converted to one-way traffic to allow more patio space for waterfront restaurants. (Peace Arch News)
Province promotes permanent pub patios in B.C. post-pandemic plan

More than 2,000 temporary expansions from COVID-19 rules

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Most Read