Canadian property tax updates and appeal deadlines

Q1 2024 appeal and tax rebate application deadlines, across Canada

Each new year brings new assessments for many of Canada’s largest jurisdictions. In most regions, assessment notices are sent between November and January. The deadlines to appeal those assessments are, in some cases, only 30 days from when the notices are sent. This means property owners have a short window of time to decide whether to file an appeal.

Assessment appeals are the only way to lower commercial property taxes for the coming year – and must be filed long before the final tax bill is received.

Figure 1 - Upcoming deadlines by region

10 provinces, 13 assessment cycles, dozens of deadlines

British Columbia

British Columbia conducts a province-wide reassessment each year, which is managed by BC Assessment. For 2024, assessments are based on values as of July 1st, 2023. Pre-roll consultations were completed in the fall of 2023 and notice of the final assessed value was mailed in early January. The deadline to file appeals is January 31 each year.

Alberta

Each Alberta municipality has its own assessment authority, which sets the assessment notice date and appeal deadline. The deadline to appeal is generally 60 days after the assessment notice is received. For the 2024 taxation year, Calgary’s appeal deadline is March 11th, and Edmonton’s is March 23rd. For designated industrial properties (DIP) in Alberta, assessments are issued by the province and are usually mailed in late February, with a 60-day review period for appeal, regardless of the municipality they are located in. Property owners should always consult their assessment notice to confirm the appeal deadline.

Saskatchewan

Saskatchewan has a four-year assessment cycle and was last reassessed in 2021, based on 2019 market values. Major municipalities, including Saskatoon, Regina, Prince Albert, and Swift Current have their own assessment agencies. In most cases, assessment services for the rest of the province, are provided by the Saskatchewan Assessment Agency.

If the assessed value of your property changes during the assessment cycle (generally due to improvements or other physical changes) you will receive notice of the new assessed value. Notices are sent in early January in major urban centres, and later in the year in rural areas. There is a 30-day appeal window. For 2024, the appeal deadline is February 5th in Regina and Saskatoon, and March 1st in Prince Albert. 2024 is the last year of the current assessment cycle – Saskatchewan municipalities will reassess for 2025 based on a valuation date of January 1st, 2023.

Manitoba

In Winnipeg and Manitoba new assessments are being created this year, which will be in effect for the 2025-2026 assessment cycle. Assessments are being updated from a valuation date of April 1st, 2021, to April 1st, 2023. Property owners will receive their assessment notice for the 2025 taxation year in late May or early June 2024, and the deadline to appeal to the Board of Revision is expected to be in late June. For properties outside of Winnipeg, assessment notices are expected later in the spring, with deadlines in late summer/fall of 2024. Business assessment notices are generally issued in the fall, with a 21-day window for appeal.

Ontario

Ontario legislation mandates a four-year assessment cycle, which should have commenced in 2021 based on 2019 values. The reassessment was suspended in 2021, due to the pandemic. The next reassessment would have been scheduled to take place in 2025 based on values as of January 1st, 2023; however, the province has indicated that they are conducting a review of the assessment system and will not announce the next reassessment date until that review is complete.

Although the valuation date has not changed, the Municipal Property Assessment Corporation (MPAC) may have updated your assessed value as a result of tenant changes or completed building permits. The deadline to file a request for reconsideration with MPAC or an appeal with the Assessment Review Board is usually March 31st, but falls on April 2nd in 2024 due to the Easter holiday.

Quebec

Municipalities in Quebec have triennial assessments, with revaluations taking place every three years. Each municipality has its own assessment cycle, and you can only file an appeal in the first year of the cycle. For 2024, smaller centres in Quebec, including Drummondville and Gatineau, have been updated from a July 1st, 2019 valuation date to a July 1st, 2022 valuation date, and the deadline to appeal is April 30th. Quebec City will reassess for 2025, based on values as of July 1st, 2023, and Montreal will reassess for 2026. No appeals can be filed in Quebec or Montreal until the reassessment year.

New Brunswick

New Brunswick reassessed for 2024 based on values as of January 1st, 2024. Notices are sent in January with a 30-day window to appeal, which falls on February 14th this year. The same valuation date will remain in effect for 2025, and the next reassessment will take place in 2026 with a valuation date of January 1st, 2025. Going forward, annual assessments will resume, with a valuation date of January 1st of the prior year. Assessments in New Brunswick are administered by Service New Brunswick (SNB).

Nova Scotia

Nova Scotia assessments are administered by the Property Valuation Services Corporation (PVSC). The province reassesses each year, and for 2024 the valuation date is January 1st, 2023. Assessment notices for the 2024 taxation year were issued on January 8th, 2024, with an appeal deadline of February 8th.

Prince Edward Island

The province of PEI is reassessed annually by the province. The valuation date for 2024 is January 1st, 2024. Assessment notices typically go out in May with an appeal deadline in August.

Newfoundland and Labrador

While the province of Newfoundland and Labrador is reassessed annually by the Municipal Assessment Agency, the City of St John’s operates a separate assessment authority and reassesses every two years.

Outside St. John’s, notices for the 2025 taxation year will be sent on June 1st, 2024, with an appeal deadline of July 1st, 2024. The 2025 assessments will have a valuation date of January 1st, 2024. Within St John’s, assessments for 2024 and 2025 are also based on a valuation date of January 1st, 2022. Notices of assessment for 2025 are expected to go out in May or June of 2024, and taxpayers will have 60 days to appeal.

6 reasons to appeal your property tax assessment

Reason 1: Property tax rates keep going up

Canadian municipalities continue to struggle with rising costs, whether due to inflation, increasing police and fire budgets, social services, infrastructure improvements, or deferred maintenance. Multi-year property tax budget increases of more than 5% per year are becoming commonplace. You can’t control the city’s tax rate or appeal the tax bill – appealing your assessment is the only way to reduce your property tax.

Reason 2: A property tax reduction increases NOI, and can add value to property

Property tax is the largest single operating cost for most business properties. Property tax management and assessment appeals can reduce that cost and provide a substantial boost to net operating income (NOI). In a multi-year assessment cycle, where a jurisdiction uses assessment averaging or phase-in, an assessment reduction may result in lower property tax for future years as well. The ongoing improvement to NOI can increase the value of your property.

Reason 3: Gain a competitive advantage

Reducing your operating cost can give you a competitive advantage in leasing or renewal situations, making it easier to attract or retain tenants.

Reason 4: Mass appraisal is prone to errors and generalizations

There are a number of reasons your assessed value may be too high. Assessments are prepared using mass appraisal techniques – methods that enable assessors to value a large number of properties in a short period of time. These methods usually reflect overall market trends, but may not capture the specific circumstances of individual properties. For example, your property may be showing its age, or in poor condition, or it may have been damaged. It may have special features that are no longer valued in the marketplace, it may be suffering from a market oversupply or a decline in demand, or the assessor may have based the valuation on incorrect data.

Reason 5: You may be eligible for a lower tax rate

In some jurisdictions, a property may qualify for a lower tax rate depending on how the property is used, and an appeal may be filed to correct the classification.

Reason 6: With fewer transactions to analyze, assessments may not reflect the market

Over the past several months, high inflation and interest rates have resulted in few properties transacting. In addition, many property owners have been signing non-standard lease deals to support flagging occupancy. These details are often missed in mass appraisal valuations, resulting in higher assessments.

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