By Rosalind Russell – Elliot Lake City Council has said no to a recommendation to increase property taxes for homes and businesses, especially when it comes to owners of multi-unit residential buildings.
Elliot Lake council listened to a presentation from Peter Frise of Municipal Tax Equity Consultants focusing on municipal taxation.
Frise told council if they chose to reduce the rate on multi-unit taxes, there is only an obligation for landlords to pass on savings to renters if they add up to more than 2.9 percent overall adding the move would likely only increase the tax burden.
It was also noted the province recently set a rate of 1.0 for new multi-residential construction, while older, existing multi-res properties can be as high as 2.0.
It was also pointed out MPAC, which evaluates land values, is still using 2016 values due to the delays caused by the Covid Pandemic.
In the end, council rejected the motion to increase the tax rates, but a majority voted in favour of an amended motion to maintain the tax rates as they are.
Photo: There will be no tax decreases or increases when it comes to housing in Elliot Lake. Council made that decision in an amended motion on Monday night. Photo provided City of Elliot Lake
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