Every residential property owner in Toronto will be mailed a 2016 Property Assessment Notice from the Municipal Property Assessment Corporation (MPAC). The property assessment notice provides the current value assessment of a property as of January 1, 2016. The updated assessment values will be used by the City of Toronto to calculate municipal property taxes for the 2017-2020 tax years.
Any increases in assessment value are phased in gradually over four years. A decrease in assessed value is introduced to taxpayers immediately.
As determined by the MPAC Assessment Update, residential property owners will see an average assessment increase of approximately 7.5 per cent in 2017, 2018, 2019 and 2020. The average assessed value of a typical residential home in Toronto is $770,000 and the average assessed value of a condo is $363,000.
Reassessment at the municipal level does not generate any additional tax revenue for the City. This means that when property values increase, the City is required to adjust its municipal tax rates so the amount of property taxes collected remains the same.
An increase in assessment does not necessarily mean that owners will experience an increase in property taxes. If the assessed value of a home has increased by the same percentage as the average in the municipality, there may be no increase in property taxes.
Property owners should check their Notice of Assessment upon receipt. Owners can confirm the information used to determine their property assessment and compare their assessment with others in their neighbourhood by visiting MPAC’s online portal, http://www.aboutmyproperty.ca.
Property owners who disagree with their assessment can file a Request for Reconsideration (RFR) and MPAC will review their assessment free of charge. This year, Property Assessment Notices will state the deadline to file an RFR is 120 days after the Issue Date. If property owners choose to file an RFR, they are encouraged to do so as soon as possible so the updated assessment values can be reflected on their 2017 final property tax bill.
Property Assessment Notices for all City of Toronto non-residential properties will be mailed in October. – CINEWS