The following formula is applicable for the calculation of the total taxes levied against a property:
- Property Fair Value = Land Value + Building Value
- Property Assessed Value = Fair Value * Provincial Percentage of Value
- Tax Levy = Assessed Value * Uniform Mill Rate * Mill Rate Factor
- Total Taxes Payable = Tax Levy + Local Improvement Levy
The city receives approximately 52% of its total operating revenues from property taxes. Provincial Legislation provides that the basis for the collection of property taxes shall be the assessed value of the property (land and buildings). Legislation provides that all properties shall be fairly assessed and gives property owners the opportunity to have their property assessment reviewed through an appeal process.
Once a year, all property fair values may be reviewed by any resident of the City for the purposes of comparing fair values to determine if they are equitable. Property assessments are also revised if any changes occur to the property. For example, demolitions or new construction will have an impact on the building value. Similarly, purchasing additional land for consolidation will increase your land assessment.
Revaluation
Provincial legislation requires municipalities to revalue properties every four years to update assessments. This does not involve on-site inspections, but rather is done at City Hall, using formulae and existing property data. All of Saskatchewan will calculate assessments in the same manner - following Provincial Legislation and rules contained in the Saskatchewan Assessment Manual, written by the Saskatchewan Assessment Management Agency. The income approach to valuation is being considered for the 2009 revaluation. For more information on the income approach, click on the following link:
http://www.sama.sk.ca/pdfs/SAMA%20Income%20Approach.pdf
Taxes and New Home Construction
When city developed land is sold, taxes are collected on land only to December 31 of the current year. The Assessment and Taxation Division receives a copy of the building permit, and an assessor will carry out an inspection after a reasonable time is allowed for completion. The building may be assessed and taxed at any stage of construction. The policy of the City of Prince Albert is, however, that the building is assessed and taxed from the date of completion or occupancy whichever is the earliest.
Before construction commences, a tax estimate may be obtained from the Assessment & Taxation Division by supplying the assessor with a set of home plans.
All buildings including commercial buildings, residences, decks, sheds and garages over 100 square feet in size are assessed for tax purposes.
Local Improvement Levies
Your Tax Notice may also include one or more additional levies for Local Improvement works. Usually, these are levies for special projects that have been carried out in your neighborhood. Typically, they include paving and sidewalk projects or dust proofing applications for unpaved streets or avenues. These Local Improvement levies have been implemented by Bylaw after the property owners have had the opportunity to make their views known to City Council.
Distribution of Property Taxes to School and Library Boards
The City of Prince Albert is required by legislation to collect taxes for the Public School Board, the Separate School Board and Municipal and Regional Library Boards should the municipality wish to set a separate mill rate to collect the amounts requested by the library boards. The School Boards each set their own mill rate for the purpose of collecting taxes. The City collects all levies and forwards the amount collected to the respective taxing jurisdictions.
Your declaration as to whether you are a Public School supporter, a Separate School supporter or a taxpayer requiring a 50-50 distribution will affect how your tax levy has been calculated.
You may download the appropriate form for declaring your school support by selecting one of the two options below:
The forms must be completed before a commissioner for oaths or a solicitor. A Commissioner for oaths is available at the Tax Division at City Hall.
Since 1992, taxpayers have had the opportunity to amortize the payment of property taxes over 12 months through pre-authorized payments. TIPPs, or the Tax Installment Payment Plan, is available to taxpayers at no additional cost. In other words, pre-authorized payments are accepted throughout the year with no discounts or penalties applied.