Signatories demand certainty

Click here for Property Tax Cap Petition

VICTORIA: The Canadian Taxpayers Federation (CTF) delivered approximately 2,000 petitions today to the Minister of Community and Rural Development, Mr. Bill Bennett, calling for property tax increases to be limited no more than the rate of inflation. 

"Federal and provincial tax reductions won't help families if that money just gets lifted by spend-happy municipal politicians through higher property taxes," said Maureen Bader, B.C. Director of the CTF. "It's time to cap property tax rates to create predictable payments for local ratepayers and predictable revenues for local governments by making revenues, not spending wish lists, the first consideration in the municipal budgeting process."

Unlike federal and provincial governments, municipal governments determine how much they are going to spend then determine the tax rates to pay for that spending. As a result, local property tax bills tend to be unpredictable.

"Most municipal spending increases are running above the combined rate of inflation and population growth, and that is reflected in higher property tax bills,” continued Bader. "This can be alleviated by focusing on core responsibilities, moving to user-based approaches and capping property tax rate increases.”

A CTF commissioned national public opinion poll conducted by Praxicus Public Strategies taken in August 2008, shows strong support for two of the key CTF recommendations: 68 per cent support a property tax rate cap and 58 per cent support reducing property taxes and introducing more fees for service. 

The petition reads: the current property tax system is unpredictable, unfair and punitive to property owners. Year after year, homeowners are left guessing how much their property tax bill will be. Municipal spending has spiraled out of control because municipal councils first decide how much to spend then decide how much to raise taxes by to pay for the spending spree.