Unpaid Taxes

What Happens If Property Taxes Are Not Paid?

The Town follows the collection protocol for unpaid property taxes in accordance with the Municipal Act, 2001.

A late payment charge of 1.25% is added on the first day of default and on the first day of each month thereafter, as long as taxes remain unpaid.

Payments are applied to the oldest penalty/interest and oldest principal first.

Issued when property taxes are at least two calendar years in arrears.
Notifies the property owner that the property is eligible for tax sale proceedings under the Municipal Act, 2001.
To stop the process, all outstanding taxes must be paid, leaving only the current year’s taxes unpaid.

May be arranged with the Treasurer before a final notice is issued.
Must include:
- All tax arrears
- Current taxes
- Estimated future taxes
- Penalties and interest
Must ensure full payment within one year.
Penalties and interest continue to accrue during the arrangement.
If two payments are missed or returned within six months, the arrangement is void. Full payment by certified cheque or money order will be required to avoid tax sale proceedings.

If payment is not made by the due date in the final notice:
A Tax Arrears Certificate is registered under Section 373 of the Municipal Act, 2001.
This means the property will be sold unless the Cancellation Price (all arrears, interest, penalties, legal costs, and billed future installments) is paid within one year.
Partial payments are not accepted once the certificate is registered.
If full payment is made, a Cancellation Certificate will be issued under Section 375.

If full payment is not made within one year of the Tax Arrears Certificate:
The Treasurer, through a third party, will proceed with a tax sale.
The sale will follow the public tender process under Section 379 of the Municipal Act, 2001.