By KEVIN BERGER, Local Journalism Initiative
RM of Corman Park councillors passed all three readings during their August 18 meeting on a new property tax penalties bylaw that provides clear authority on how current-year tax payments are treated, when penalties are applied and how penalties form part of tax arrears.
According to an administration report, council approved a resolution back in 2010 that the penalty rate for unpaid taxes would be set at 12 annually.
After a review, administration identified the need to clarify the RM’s approach to tax penalties and recommended that council formally approve a new bylaw.
Bylaw 34-26 keeps the same penalty rate as before —12% per year, or 1% per month.
Director of Finance and Information Technology (IT) Cal Hamm said the new bylaw is supported by Section 279 of the Municipalities Act and also applies to unpaid education property taxes that have been levied by the RM.
Hamm said a new tax penalties bylaw would help ensure the RM’s tax penalty practices are documented, consistently applied and aligned with council’s current direction.
“Overall, this bylaw does not create a new policy direction so much as it formalizes and clarifies the municipality’s existing tax penalty practice in a current bylaw,” Hamm said.
Administration will provide notice of the new bylaw via the regular tax notice process, as well as website updates and direct ratepayer inquiries.
Hamm said clear wording should be included on tax notices to identify the due date for taxes, penalty timing and treatment of unpaid balances as arrears.