Property Tax Rules are Changing in Ontario

You may have heard that municipalities are gradually eliminating the Vacant Unit Rebate and the Excess Land tax class. How will this affect your business?

Do you have chronically vacant space? Maybe portions of a plant which are no longer needed? Or unused, undeveloped land, excess to what you need? If you have received rebates or a lower tax rate in the past, your taxes might be going up.

This is the time to have your property assessment reviewed. These very issues can also affect the value of a property. In the past assessors would often reason that since the Vacant Unit and Excess Land program reduced the taxes, there was no reason to adjust the value. This was never a good argument  - value and tax rebates are two entirely separate issues. With the changes coming in many municipalities, chronic vacancy now needs to be recognized for the valuation issue it is.