2014 Assessment Notice mailing and Customer Review Period
On January 3, the Assessment business unit mailed 2014 Assessment Notices to approximately half a million Calgary property and business owners.
Property and business owners have from January 3 until March 4 to review and ensure the accuracy of their 2014 assessment during the 60-day Customer Review Period. The City of Calgary will, if needed, amend property and business assessments if an inquiry is received during the 2014 Customer Review Period.
As required by provincial legislation, the 2014 property assessments reflect the market value of property on July 1, 2013 and the physical condition as of December 31, 2013. The 2014 business assessments reflect the typical net annual rental value of business premises as of July 1, 2013. Assessed values are prepared annually and provide the basis for calculating property and business taxes.
The June 2013 flood required special consideration by the Assessment business unit. Following the flood, Assessment staff worked to identify and measure the flood’s impact to city properties. From this analysis, 1,939 property assessment accounts to-date have been identified as experiencing a market value reduction due to the flood. The market value adjustments are reflected in the 2014 assessed values for these properties.
The business tax consolidation process continues in 2014 with 10 per cent of business tax revenues transferred to, and collected through, the non-residential property tax. This will result in a 10 per cent decrease to the 2014 business tax rate and an estimated 2.7 per cent increase to the non-residential property tax rate. Incremental revenue transfers will occur annually until 2019, culminating with the elimination of the business tax.
Questions & Answers
1. Why is the Customer Review Period (CRP) important?
The 2014 Customer Review Period provides property and business owners the opportunity to review and ensure the accuracy of their assessment and learn more about how their value was prepared. We encourage property and business owners to:
- understand their Notice and the assessment process
- review their assessment for accuracy and compare for equity using resources available online at calgary.ca/assessmentsearch and calgary.ca/assessment
- contact Assessment at 403-268-2888
- to get answers to any questions, book an appointment with an assessor or, if necessary, update information.
The City of Calgary will, if needed, amend property and business assessments if an inquiry is received during the 2014 Customer Review Period. Any changes brought forward after the Customer Review Period will be considered for 2015 assessment values.
2. Which communities contain properties that received a market adjustment due to the flood?
Based on market analysis, adjustments have been made to 1,939 flood affected properties in the following communities:
Beltline, Bowness, Bridgeland, Cliff Bungalow, Discovery Ridge, Elbow Park, Erlton, Elboya, Hillhurst, Inglewood, Mission, Rideau Park, Roxboro and Sunnyside.
3. How will The City address inquiries from customers who had flood damage that wasn’t captured from our engagement / research?
We will accept information during our Customer Review Period about flood affected properties in the same way we would for any other property.
If a change to an assessment is necessary due to new information provided, an amended assessment notice will be issued to the property owner.
The assessment process for flood affected businesses is different from property. For more information about how 2014 assessments were prepared for flood affected properties and businesses, please review the FAQs at calgary.ca/assessment.
4. What is revenue neutral?
The intent of The City of Calgary’s revenue neutral policy is to ensure that:
- tax revenues do not increase automatically with assessment changes due to fluctuations in the real estate market
- tax increases reflect The City’s need for new funds
The revenue neutral calculation on every Assessment Notice helps explain to property and business owners how their share of tax has changed given their property’s/business’s new assessed value and if The City did not increase/decrease its budgetary requirements from the previous year. In other words, it shows what their taxes would be as a result of the re-assessment only.
Following the Notice mailing, if a 2014 tax rate change is approved, the revenue neutral amount shown on the customer’s Assessment Notice will change accordingly.
5. What is business tax consolidation?
In 2012, Council moved to consolidate Calgary’s business tax revenues with the non-residential property tax over a seven-year implementation period. The consolidation process began in 2013 with a zero per cent transfer and will conclude in 2019 with the full elimination of the business tax for business tax purposes.
The consolidation process works by transferring business tax revenues into the non-residential property tax through annual incremental revenue transfers.
In 2014, 10 per cent of business tax revenues will be transferred to and collected through the non-residential property tax. This will result in a 10 per cent decrease to the business tax rate and an estimated 2.7 per cent increase to the non-residential property tax rate as a result of the consolidation process only. The last transfer will occur in 2019, culminating with the elimination of the business tax.
Information about the business tax consolidation process, including an online calculator that allows non-residential property and business owners to view estimated tax implications throughout the consolidation time frame is available at calgary.ca/btc.
6. What if I still disagree with my assessment after reviewing information about how it was prepared and discussing my assessment with an assessor?
Customers may have used Assessment’s customer service program to the fullest but still wish to file an assessment complaint with the Assessment Review Board (ARB). The filing deadline is March 4, 2014. For more information or to obtain a complaint form, customers can visit the ARB’s website at calgaryarb.ca or call 403-268-5858.
This content represents the personal views and opinions of the Ward Councillor and should not be taken as a statement of policy of The City of Calgary. The inclusion of any external content does not imply endorsement by The City of Calgary.