Ponoka Town Council has lowered the municipal property tax increase to 1.25 percent as opposed to the previous 3.25 per cent raise approved last fall in the interim budget.
According to Ponoka Mayor Kevin Ferguson, the lower portion is to help taxpayers with the unexpectedly high 10.8 per cent increase in the education tax.
He noted that the Town is required to collect the provincial education tax as part of the property tax bill it sends annually to residents. The education tax that is collected is then sent directly to the provincial government.
The 1.25 per cent increase in the municipal portion of property taxes equates to an annual increase of $10.95 per $100,000 of assessed property value for residential properties and $14.29 per $100,000 of assessed value for commercial properties.
An increase in property assessments will have an impact on the property tax paid. Last year alone, property assessment values increased by an average of seven per cent.
“That amount will be higher or lower depending on the property and numerous factors such as property size, location, age and condition,” said Chief Administrative Officer Sandra Lund.
She noted that if residents have questions about their property assessment, they can contact the Town Office.
For more information about property taxes, how they’re calculated, and the Town of Ponoka budget process, please visit the Town’s website.
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