Potential tax relief on the way for B.C. small businesses, non-profits
The Province announced a new, municipal-led property tax rate flexibility that will give municipalities the tool to support small businesses and non-profits struggling to pay high property taxes because of future development potential.
Some areas such as Metro Vancouver have experienced increased density to accommodate for a growing population. This has led to significant property value increases in recent years and caused a raise in assessed values and associated property taxes for some businesses. Through the new measure, municipalities will have the ability to identify what types of properties or areas in their community are being impacted by high density development potential and provide relief to commercial properties that need it most by taxing the assessed value of land at a reduced municipal tax rate. The tax measure will be in place for the 2023 tax year, replacing the Interim Business Property Relief program introduced in 2020.
“The Province is committed to collaboration with our local government partners to deliver programs and policies that meet the unique needs of each community,” said Nathan Cullen, Minister of Municipal Affairs. “This tool will empower local governments to help non-profits and small businesses thrive.”
Small businesses and non-profit organizations paying high property taxes because of future development potential may see some financial relief through new municipal property tax rate flexibility.