TOWNSHIP OF ESQUIMALT STAFF REPORT
MEETING DATE: January 27, 2025 Report No. FIN-25-001
TO: Council
FROM: Ian Irvine, Director of Financial Services
SUBJECT: Request for Property Tax Write Off - Folio 307-0582.000
RECOMMENDATION:
Recommendation
That Council: (i) approves the write off of uncollectible property taxes, penalties and interest for folio 307-0582.000 and (ii) directs staff to apply to the Minister under Section 781 of the Local Government Act to write off said account receivable.
Body
EXECUTIVE SUMMARY:
In 2023, the assessment value related to the property located at 464 Head Street was erroneously recorded by BC Assessment. This resulted in property taxes, and subsequent penalties and interest, being levied on this property. While the assessment value was adjusted in 2024, the property taxes remain outstanding on the account.
When local government financial assets are deemed to be uncollectible, Council may, by resolution, request a Minister's Order to write off the outstanding uncollectible taxes plus any applicable penalties and interest. This requires a Council resolution and a staff report which outlines the situation and total write off amount. Once Ministerial approval is received, all uncollectible amounts can be removed, necessary adjustments and taxing authorities can be advised.
BACKGROUND:
During the review of outstanding property tax amounts, staff identified folio 307-0582.000 which experienced a significant assessment value increase in 2023 which was inconsistent with the historical assessment values and the knowledge of the property. This increased assessment resulted in a significant property tax amount being levied against the folio. After making an inquiry with BC Assessment ("BCA"), they provided the following statement:
* "The subject property at 464 Head Road for the 2023 Roll Year had an improvement value allocated on the property in error. The property was and still remains vacant. As the property was not ap...
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