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TIPP-Recalculation

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Tax Instalment

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Tax Instalment Payment Plan (TIPP)

An increase or decrease to your January TIPP payments are not related to property tax rate changes. Any potential change to the property tax rate is unknown at the time of the adjustment. The changes to your TIPP payments are a due to a calculation required to adjust your tax account based on what has occurred in the past year.

TIPP recalculation letters sent out at the end of November

Approximately 60 per cent of Calgary taxpayers are enrolled in TIPP and use it as the method to pay their property taxes. All Tax Instalment Payment Plan (TIPP) accounts are reviewed each year in November to determine the amount of the monthly instalment from Jan. 1 to June 1 of the next year. The revised payment amount becomes your instalment beginning Jan. 1. Property owners whose monthly instalment is going up or down receive a letter informing them of the change to their instalment amount 30 days in advance of the adjusted withdrawal. 

Calculating your Jan. 1 to June 1 instalment amount

The January 1 to June 1 monthly instalments are calculated by dividing your last year’s property tax by 12, taking into consideration any applicable adjustments affecting your tax account, rounded up to the nearest dollar. Any potential property tax rate changes or budget discussions that may be happening at the time are not factored into the calculation.

Calculating your July 1 to Dec.1 instalment amount

When you receive your annual tax bill in May your instalments from July 1 to Dec. 1 are adjusted to reflect the year’s actual tax levy. Current year’s tax bill minus payments made to date divided by six. The revised instalment amount ensures your tax account is paid in full by year-end.

Your annual tax bill will show:

  • the credit resulting from the instalments made Jan. 1 to May 1
  • the June 1 instalment amount
  • the new instalment amount beginning July 1

The graphic below shows the TIPP yearly cycle. The triangle represents when you receive your bill. The star shows when you would receive notice of a TIPP recalculation if your payment amount was changing.​

tax instalments 

Note for Non-residential property owners who received a 2019 Municipal Non-Residential Phased Tax Program (2019 PTP) credit

For non-residential property accounts TIPP recalculations are calculated using the same formula. However, your PTP credit would have been factored into your 2019 instalment payments from July 1 to Dec. 1 and been fully applied over that period. But due to the one-time nature of 2019 PTP your credit will not be applied to your 2020, Jan. 1 to June 1 instalment calculation.

There are approximately 6,000 non-residential property owners who participate in TIPP. The majority of these 6,000 accounts would have received a PTP credit in 2019. The amount of the PTP credit and impact on their TIPP recalculation will vary.


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