Harbour Grace adopts revised tax policies

By Olivia Bradbury

Harbour Grace council has revised some of its tax policies, especially as they pertain to property owners who owe arrears.
The changes were approved at a council meeting last month.
Councillor Gordon Stone, who chairs the finance committee, began his series of motions with a revised tax arrears policy. According to this new policy, no application, letters of support, permits, tax incentives, or other official documentation will be considered by the Town until all taxes in arrears are paid or a signed payment plan for the tax arrears has been put in place.
Next, Stone moved that council adopt a revised tax payment incentive policy. Stone explained that in cases of people with longstanding arrears, if they pay their current year or earlier taxes, council will write off an equal amount at year end taxes in excess of six years arrears.
Mayor Don Coombs allowed this will give those property owners the opportunity to catch up with their tax payments.
Stone’s next motion was to adopt a revised tax incentive for new developments.
“Council will grant a property tax exemption for one year from the date of occupancy as per required occupancy permit or the date of first assessment,” he said.
This motion was deferred at the request of councillor Brendan Chafe, who wanted to make sure the policy didn’t necessitate changes to motions he was to make for council’s housing, environment and sanitation committee.
Stone then moved on to a revised tax incentive for new businesses.
“Council will grant a one-year exemption from business tax and the mil-rate portion of the commercial water and sewer (tax) for the first year of operation,” said Stone. “For the second year of operation there will be an exemption to business tax only.”
The qualifying criteria for the exemptions are that the business has to have a new owner, or operate from a new location, or provide a new product or service. In order to qualify, business owners must have applied for a business permit prior to the start of the business, and make a written request to council no more than 90 days from the date council approved the application.
Next, Stone made a motion that council adopt a revised water shutoff policy.
“Council will shut off water for current year taxes after June 30th unless a payment agreement is in place,” said Stone. “Council will shut off water any time if taxes are in arrears for prior years unless a payment schedule has been agreed upon and maintained.”
The next motion was to adopt a revised social assistance policy. “Residents in receipt of long-term assistance from the Department of Children, Seniors, and Social Development for six consecutive years will be considered for forgiveness of outstanding taxes in arrears at the end of the sixth year,” said Stone.
The final motion was to adopt the supplementary assessment policy. “Council will adjust taxes, credit, or debit as a result of supplementary assessments for the current year only,” said Stone. “Adjustments shall not be retroactive except in the event of an appeal hearing decision.”