On January 4th, Property Assessment Notices were mailed out by The City of Calgary.
2022 was a tumultuous year for property values, and almost all home and business owners will see an increase in the assessed value of their property. With revenue-neutral taxation, increases in property value won’t necessarily translate to an equal increase in property tax. Each year, the property tax mill rate (the percentage applied to the value of the property) is adjusted to ensure that the same revenue is collected from the totality of all properties in the city, before any changes to the overall budget are made. The City has a great video to help understand this concept: Assessment & Taxation - YouTube
Overall, as a city, more than 565,000 Assessment Notices were compiled and sent out, based on their value on July 1st of last year. The process to assess properties in the City of Calgary is provincially mandated and is designed to ensure equity and transparency.
This year, the median price for a residential property increased by 12%. Properties that increased more than that amount will have a higher than average tax increase, while properties that had a smaller increase in value will see a lower than average tax increase. Overall, the median single-family home, assessed at $555,000, will see an expected jump of about $10 per month. A condo owner, with an median value of $255,000 would see a much smaller change to this year’s tax bill.
What if I believe my assessment was incorrect?
You can contact Assessment during the Review Period to discuss your assessment and any concerns you might have. You have until March 13, 2023 to call and talk to the Assessment Team. Keep in mind that this is the first step. If you are not satisfied with the decision of the Assessment Team, you only have until March 13 to file a complaint with the Assessment Review Board (Calgary Assessment Review Board (calgaryarb.ca)). Time is of the essence.
What if I have not yet received my assessment?
Due to processing delays at the Province of Alberta Land Titles Office, recent ownership and mailing address changes were not reflected on the property assessment notices mailed on January 4, 2023. You should receive your assessment notice within 10 days. If you have not received your assessment notice, contact Assessment.
How do I compare my assessment with other properties or view historical data?
There is publicly available information for nearly every property in the City, and detailed information on your own property if you register and sign in. Use the Public Access search if you don’t have an account or require the additional detail
If you have additional questions regarding Assessment, you can view the FAQ here: Assessment – frequently asked questions (calgary.ca)
How will my assessment affect my property taxes?
As I mentioned above, your assessment will affect your future property tax bill by the difference between your assessment and the average for the whole city, of your type of home/property. After that calculation, the increase to this year’s budget will be added on. This rate will be finalized in March of this year once the provincial portion of property taxes is also finalized. Your Property Tax Bill will be mailed to you in May.
There will be an increase to this year’s budget, and you can view more detail on how it came to be and my accompanying thoughts here: https://www.evanspencer.ca/budget_wrap_up
Ward 12 Impact
Understandably, Ward 12 is an attractive area to live in, and thus most properties had a larger-than-average increase in value in 2022. In fact, over 98% of residential properties in the Ward communities saw larger-than-average increases in assessed value versus the median increase across the city. Although this will mean a larger share of taxes will be paid by neighbourhoods like ours in Ward 12, home values are far outpacing annual tax increases. We live in amazing complete, diverse, and desirable communities and this has directly influenced the assessments/great prices we have seen in the last year. Our Ward is poised to tackle an outsized portion of the housing needs in Calgary for at least the next 5-10 years.
I understand that this news will put folks in Ward 12, particularly those on a fixed income, in a tenuous position. Calgary has enjoyed relatively low taxes for many years but the economic headwinds that started in 2014 have been compounded with the pandemic and many other factors. I outline some of those headwinds in my budget reflections Budget Wrap-Up 2023-26 - Evan Spencer for Ward 12.
If you need clarification on your assessment, I would encourage you to reach out to the Assessment Office but I and my office are also willing to help fill in any gaps and happy to receive general feedback that this conversation sparks for you.
Cllr. Ward 12