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COVID-19: District may postpone penalty on property taxes

staff report
April 24, 2020 4:28pm

The District of Squamish might defer penalty on unpaid property taxes for three months as part of a local COVID-19 relief measure.

Squamish council will debate the proposed changes at an upcoming meeting on April 28.

In normal times, the 5 % penalty on local taxes is applied on July 3, a day after the taxes are due. Another 5% penalty kicks in on August 1.

Under the new rules that have yet to be passed, the district is considering deferring the penalty for three months. If approved by council, the first penalty of 5 % on unpaid property tax will be applied on October 1.

The second penalty of 5 % will be applied on December 1.

“This is a balanced approach that would contribute to the districts’ cash flow without immediate consequences for those financially challenged homeowners,” staff says in a council report.

Staff is, however, recommending that district keep the due date for property taxes as July 2. The current water, sewer and solid waste bylaws will also have the due date of July 2 and penalty dates for non-payment on these charges will remain unchanged.

The grace period for penalty on property taxes will align with the provincial decision to extend penalty on commercial properties taxes to October 1.

BC Government is also allowing local governments to borrow interest free to help pay for operating expenses such as salaries of local employees. Local governments can also delay remitting certain taxes to the province.

District of Squamish is also looking at other local municipalities such as City of Victoria and the City of Coquitlam, who have introduced local tax relief measures.

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