BY now you’ve received your property tax notice. In fact, it’s almost time to pay.
Chances are that your residential property taxes have increased. If you are like me, your assessment, your school taxes and your municipal taxes have all increased. It you live in a mobile home park you will quickly notice that you are probably paying more in taxes than someone living in a $50,000 home. If you are a senior you will see that your minimum tax payable has risen to $100. If you are a renter, you can expect a rent increase to reflect your landlord’s tax hike. Across the board, it’s bad news.
School taxes, you will see, have increased substantially and they probably account for the bulk of the rise. That is because several years ago, the provincial government announced a new formula and introduced new legislation which allowed school boards to tax residential property only. In other words, school boards are not permitted to tax commercial, industrial or manufacturing properties. Is that fair? After all, don’t commercial’ operations benefit from the education provided to citizens. It is their very skills that are taught to us all which allow us to market our ideas and produce wealth. So why should you have to pay for increased school taxes when the shopping Centre owner. Down the road doesn’t have to?
Clearly, the provincial government should reassess the taxing powers given to school boards so that all contribute equally to school costs.
Someone will be quick to argue that municipalities and school boards should spend less, that they should cut back. Well, take a minute to call your local alderman or school trustees. You will quickly realize that most of them have gone out of their way to review every dollar spent and they have cut back as much as they can. In fact, we often overlook the tremendous contributions made by our municipal and school elected Officials.
Well, if the school boards and municipal councils are doing their job, what can be done to keep a lid on these tax hikes? First of all, the province can change the way school boards are funded. Secondly, the province and the federal government can increase their contributions to local initiatives. For those of you, who wonder where the money will come from; just ask yourself where the $100 million for the South Moresby Island offer came from.
Nonetheless, I will grant you, that both the federal and provincial governments have limited funds and that, after all, they get their money from us. Therefore, the real answer lies in two areas. The first is tax reform, so that the affluent pay a greater share but I’ve written about that in other articles. Secondly, from greater economic activity. The province must shift from its “cutback mentality and stimulate public activity. It must have a clear economic blueprint because with growth comes prosperity and rewards.
In a legislative session marred with confrontation and bill 19, the government has failed to put forward that blueprint. Without economic growth and an expanded tax base, the government will continue to increase its tax to you. Without an economic strategy the government will invite a tax report. Time is running out, Mr. Premier?
(Report from the Legislature)
Article extracted from this publication >> July 10, 1987
