Home »
Proposed 2022 tax rates moved forward
City of Cranbrook council last night passed three readings of the 2022 tax rates bylaw, which poses an average 2.75% tax levy increase.
Cranbrook 2022 Tax Rates Bylaw No. 4084, 2022, prepared by city finance director Charlotte Osborne, reports municipal property taxes totalling $30,587,629 represent 31% of the city’s total budgeted revenue in 2022. After a budgeted non-market change of $415,000, the increase in the tax levy, over 2021, is 2.75%.
The assessed value of residential properties within Cranbrook increased, on average, 20.9% in 2022 over 2021. The assessed value of business class properties increased an average of 12.11%.
The residential and business classes collectively represent 98.97% of the city’s total assessed value.
“One of the primary objectives when developing the tax rates, is to maintain a consistent allocation of the tax burden across those two classes,” Osborne said, noting at the April 25, meeting council directed city staff to bring forward a tax rate bylaw with a general municipal tax levy distribution of roughly 63% residential class and 34% business class with a general municipal tax increase to the residential class of 2.75%.
Cranbrook Tax Rates Bylaw, No. 4084, 2022 results in the residential class contributing 63% (2021 – 62%) of the overall tax levy while the business class contributes 34% (2021 – 35%). Residential properties whose assessed value increased the average 20.9%, will experience a municipal tax increase of 2.75%. Business properties whose assessed value increased the average 12.11%, will see a tax increase of 0.8%, Osborne outlined.
“Due to the increases in assessed values, tax rates (amount of taxes paid per $1,000 of assessed value), for the four largest property classes are lower in 2022 than they were in 2021. The remaining two classes, recreation and farm represent a very small portion of the city’s overall assessed value.
“In 2022, the assessed value of the recreation class fell 0.6% while the farm class didn’t change. The tax rates for those two classes are marginally higher in 2022 than in 2021; in both cases, the increase is below one per cent,” Osborne said.
Final reading of the tax rate bylaw will occur at an upcoming council meeting.
e-KNOW
