Loading...
HomeMy WebLinkAbout2020-038Page 1 of 5 If this information is required in an alternate format, please contact the Accessibility Coordinator at 905-623-3379 ext. 2131. The Corporation of the Municipality of Clarington By-law 2020-038 Being a by-law to establish a property tax relief program for those facing unduly burdensome taxes as a result of the COVID-19 pandemic Whereas the Province of Ontario declared an emergency under the Emergency Management and Civil Protection Act on March 17, 2020 as it relates to an outbreak of a communicable disease namely COVID-19; And Whereas subsequent to the emergency declaration, the Province of Ontario ordered the closure of non-essential businesses; And Whereas employees of non-essential businesses, may experience economic hardship and financial difficulty as a result of the emergency closure; And Whereas Subsection 365(1) of the Municipal Act, 2001, authorizes a local municipality to pass a by-law to provide for the cancellation, reduction or refund of taxes for eligible property owners whose taxes are considered by Council to be unduly burdensome, as defined in the by-law; And Whereas the Council of the Corporation of the Municipality of Clarington deems it desirable and in the public interest to enact such a by-law as authorized under Subsection 365(1) of the Municipal Act, 2001; Property Tax Relief By-law Page 2 of 5 Now therefore the Council of the Municipality of Clarington enacts as follows: Definitions 1. In this by-law, a. “Eligible Employee” means a person, who is not the business owner, whose employment was laid off or terminated, or who requested an unpaid leave of absence from their job as a result of the closure of the business pursuant to a regulation filed under the Emergency Management and Civil Protection Act on or after March 17, 2020; b. “Eligible Period” means the period of time, in calendar days, commencing on the date an Eligible Employee ceased to work, until the earlier of the date that the business is permitted to re-open, and June 19, 2020; c. “Eligible Property” means individually assessed real property that is: i. situated within the Municipality; ii. occupied by and is the principal residence of the Eligible Owner; iii. assessed in either the residential, farm, or managed forest property tax class; iv. assessed for the 2020 taxation year at an amount not exceeding $500,000.00; and v. not subject to any property tax arrears as of March 17, 2020. d. “Emergency Declaration” is the declaration of emergency issued by the Province of Ontario pursuant to Ontario Regulation 50/20 filed under the Emergency Management and Civil Protection Act. Property Tax Relief By-law Page 3 of 5 e. “Emergency Management and Civil Protection Act” means the Ontario Emergency Management and Civil Protection Act, R.S.O. 1990, c.E.9; f. “Municipal Act, 2001” means the Municipal Act, 2001, S.O. 2001, c.25; g. “Municipality” means the Corporation of the Municipality of Clarington, or its geographical area as the context requires; h. “Non-registered Savings” means investments in financial assets that are not held in a registered retirement savings plan, registered retirement income fund, registered education savings plan or other restricted tax- sheltered savings vehicle as permitted under the Canadian Income Tax Act; i. “Owner” means a person liable to assessment, in accordance with the provisions of the Assessment Act in respect of real property located within the geographic boundaries of the Municipality; j. “Treasurer” means the Treasurer, of the Municipality, or his or her designate. 2. An Owner is eligible for relief under this by-law, and their property taxes will be deemed to have become unduly burdensome for the purposes of subsection 365(1) of the Municipal Act, 2001, if: a. on March 17, 2020, they were a registered owner of an Eligible Property; b. immediately prior to the Emergency Declaration either they or their spouse qualified as an Eligible Employee.; c. the proportion of the Municipality’s property tax attributable to the Eligible Property for the Eligible Period exceeds 5.0% of the Owner’s total household income, including any government benefits for the same period; and Property Tax Relief By-law Page 4 of 5 d. the proportion of the Municipality’s property tax attributable to the Eligible Property for the Eligible Period exceeds 20.0% of the Owner’s Non- Registered Savings. Relief Opportunity 1. Upon submission of a completed application and proof of eligibility to the satisfaction of the Treasurer, an Owner shall be entitled to a tax rebate against the real property taxes imposed on the Eligible Property by the Municipality to be calculated as follows: a. Municipality′s Annual Taxes366 × Eligible Period × 100%; or b. The prorated portion of the amount calculated above if the total amount of tax relief claimed by all Eligible Owners exceeds the amount of $1,000,000.00. 2. Applications shall be in the form approved by the Treasurer and shall include such supporting materials as may be reasonably required by the Treasurer in order to determine eligibility. 3. All applications pursuant to this by-law shall be submitted to the Treasurer by August 31, 2020. 4. This rebate shall not be combined with any other tax relief or tax adjustments for the Eligible Property as allowed under the Municipal Act, 2001. 5. An application may not be submitted by an Owner in respect of more than one Eligible Property. 6. Any tax rebate approved under this by-law shall be credited to the applicant’s property tax account without interest. Late payment charges that have been applied to the applicant’s property tax account in advance of a rebate having been credited to the account shall be cancelled, reduced or refunded.