July-December TIPP installment payments
As a Tax Instalment Payment Plan (TIPP) participant, you’ve chosen to pay your property tax by making 12 monthly payments from January through December.
The percentage change you see in your monthly instalment from June to July is sometimes confused with being equal to the percentage change in your property tax.
- For a typical non-residential property owner, the decrease in property tax from 2019 to 2020 is approximately 12.07 per cent. If this non-residential property participates in TIPP, the instalment amount between June and July will most likely decrease.
- For an owner of a typical assessed home, the increase in property tax from 2019 to 2020 is approximately 7.5 per cent. If this homeowner participates in TIPP, the instalment amount between June and July will increase by approximately 13 per cent.
This is due to how TIPP instalments are calculated. TIPP is recalculated twice a year, once in the beginning of the year and again mid-year. The mid-year calculation takes the current year’s tax bill minus payments made between January and June divided by the six months. This means the increase of tax responsibility shifted to residential property owners is spread over the last six months of this year. Property owners participating in TIPP pay no more property tax than non-TIPP participants, who pay any tax increase as part of their lump sum payment made by the tax due date in June.
Tax bills are mailed out to all property owners at the end of May each year. This is marked by the red triangle on the image below. TIPP instalments from July 1 to Dec. 1 are adjusted to reflect the year’s actual levy. The revised July-December instalment amount ensures the current year's tax is paid in full by year-end.
Your annual TIPP 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
To join, cancel or read more information on TIPP, visit calgary.ca/TIPP.
- The change in your TIPP instalment in July is not equal to the change in your property tax. The best way to determine your yearly tax change is to compare your current and last year’s tax bill. Use our online calculator to determine your 2019-to-2020 tax change.