O. Reg. 107/16: TRADITIONAL MUNICIPAL TAXES, LIMITS AND COLLECTION

 

ontario regulation 107/16

made under the

City of Toronto Act, 2006

Made: April 20, 2016
Filed: April 21, 2016
Published on e-Laws: April 21, 2016
Printed in The Ontario Gazette: May 7, 2016

Amending O. Reg. 121/07

(TRADITIONAL MUNICIPAL TAXES, LIMITS AND COLLECTION)

1. Ontario Regulation 121/07 is amended by adding the following sections above the heading “Local Municipal Levies — Funding of Rebates (Subsection 277 (11) of the Act)­­”:

By-law to end the application of Part XII immediately

7.2 (1) The City may pass a by-law providing that Part XII of the Act does not apply to any property in the commercial classes, to any property in the industrial classes or to any property in the multi-residential property class if, in the previous taxation year in the City, there were no properties within the commercial classes, industrial classes or multi-residential property class, as the case may be.

(2) The City may pass a by-law providing that Part XII of the Act does not apply to any property in the commercial classes, to any property in the industrial classes or to any property in the multi-residential property class if, in the previous taxation year in the City, the taxes for each property in the commercial classes, industrial classes or multi-residential property class, as the case may be, were equal to the uncapped taxes for the property for the taxation year, as shown on the final tax bill for the taxation year for the property.

(3) A by-law under this section applies to the taxation year in which it is passed and to subsequent taxation years.

By-law to phase out the application of Part XII

7.3 (1) The City may pass a by-law providing that the amount of taxes for municipal and school purposes for a taxation year under subsection 291 (1) of the Act for all property in the commercial classes, the industrial classes or the multi-residential property class shall be calculated in accordance with subsections (3) to (7), but the City may only pass the by-law if, in the previous taxation year, the taxes for each property in the commercial classes, the industrial classes or the multi-residential property class, as the case may be, were equal to or greater than 50 per cent of the uncapped taxes for the property for the taxation year, as shown on the final tax bill for the taxation year for the property.

(2) A by-law under this section must be passed in the first year to which it applies.

(3) Subsections (4) to (6) do not apply to a property in a taxation year if the taxes for the property for the taxation year calculated without reference to the by-law (but including the adjustment under paragraph 3 of subsection 291 (1) of the Act and the application of any City option under subsection 292 (1) of the Act) are equal to the uncapped taxes for the property for the taxation year.

(4) In the first year that a by-law under this section applies to the commercial classes, industrial classes or multi-residential property class, as the case may be, the amount added under paragraph 2 of subsection 291 (1) of the Act for the taxation year for a property in the class or classes shall be determined as follows:

1. Determine the amount calculated under paragraph 2 of subsection 291 (1) of the Act for the taxation year, using the applicable option, if any, under paragraph 1 or 2 of subsection 292 (1) of the Act.

2. Determine the amount of the uncapped taxes before the municipal levy increase for the year, if any, by dividing the amount of the uncapped taxes by 1 plus the adjustment fraction determined under subsection 17 (3).

3. Determine the difference between the amount determined under paragraph 2 and the amount determined under paragraph 1.

4. Multiply the amount determined under paragraph 3 by one-quarter.

5. The amount to be added under paragraph 2 of subsection 291 (1) of the Act is the sum of the amount that would have been added under that paragraph without the application of this section, and the amount determined under paragraph 4 of this subsection.

(5) If subsection (4) applied to a class or classes in the previous taxation year, and the by-law has not been revoked, the amount added under paragraph 2 of subsection 291 (1) of the Act for the taxation year for a property in the class or classes shall be determined as follows:

1. Determine the amount calculated under paragraph 2 of subsection 291 (1) of the Act for the taxation year, using the applicable option, if any, under paragraph 1 or 2 of subsection 292 (1) of the Act.

2. Determine the amount of the uncapped taxes before the municipal levy increase for the year, if any, by dividing the amount of the uncapped taxes by 1 plus the adjustment fraction determined under subsection 17 (3).

3. Determine the difference between the amount determined under paragraph 2 and the amount determined under paragraph 1.

4. Multiply the amount determined under paragraph 3 by one-third.

5. The amount to be added under paragraph 2 of subsection 291 (1) of the Act is the sum of the amount that would have been added under that paragraph without the application of this section, and the amount determined under paragraph 4 of this subsection.

(6) If subsection (5) applied to a class or classes in the previous taxation year, and the by-law has not been revoked, the amount added under paragraph 2 of subsection 291 (1) of the Act for the taxation year for a property in the class or classes shall be determined as follows:

1. Determine the amount calculated under paragraph 2 of subsection 291 (1) of the Act for the taxation year, using the applicable option, if any, under paragraph 1 or 2 of subsection 292 (1) of the Act.

2. Determine the amount of the uncapped taxes before the municipal levy increase for the year, if any, by dividing the amount of the uncapped taxes by 1 plus the adjustment fraction determined under subsection 17 (3).

3. Determine the difference between the amount determined under paragraph 2 and the amount determined under paragraph 1.

4. Multiply the amount determined under paragraph 3 by one-half.

5. The amount to be added under paragraph 2 of subsection 291 (1) of the Act is the sum of the amount that would have been added under that paragraph without the application of this section, and the amount determined under paragraph 4 of this subsection.

(7) No adjustment shall be made under paragraph 3 of subsection 291 (1) of the Act in the calculation of the taxes for a property to which subsections (4) to (6) of this section apply.

(8) If subsection (6) applies to property in the commercial classes, industrial classes or multi-residential property class, as the case may be, in the City in a taxation year, Part XII of the Act does not apply to any property in that class or classes for subsequent taxation years.

2. Paragraph 4 of subsection 19 (1) of the Regulation is amended by striking out “paragraph 2” at the end and substituting “paragraph 3”.

3. Section 29 of the Regulation is amended by adding the following subsection:

(1.1) For 2016 and subsequent taxation years, 10 per cent is the percentage prescribed to replace 5 per cent, in both instances where “5 per cent” appears in sub-subparagraph 2 i A of subsection 292 (1) of the Act.

4. The Regulation is amended by adding the following section:

Adjustment to par. 3 and 4 of s. 292 (1) of the Act

29.1 For 2016 and subsequent taxation years, $500 is the amount prescribed instead of $250 for the purposes of subparagraphs 3 i and 4 i of subsection 292 (1) of the Act.

Commencement

5. This Regulation comes into force on the day it is filed.

Made by:

Charles Sousa

Minister of Finance

Date made: April 20, 2016