HomeMy WebLinkAboutBylaw 1891 - Taxes in Arrears Payment Plan.Xneehill
COUNTY
BYLAW NO 1891
KNEEHILL COUNTY BYLAW FOR THE TAXES IN ARREARS PAYMENT PLAN
A BYLAW OF KNEEHILL COUNTY, IN THE PROVINCE OF ALBERTA, FOR THE PAYMENT OF
RESIDENTIAL TAX AMOUNTS IN ARREARS
WHEREAS, Council considers it advisable to authorize the establishment of a Residential Tax
Arrears Payment Plan;
As per Section 340 of the Municipal Government Act "A Council may by bylaw permit taxes to
be paid by installments, at the option of the taxpayer".
As per Section 346 of the Municipal Government Act "A penalty imposed under section 344 or
345 is part of the tax in respect of which it is imposed."
As per Section 347(1) of the Municipal Government Act "If a council considers it equitable to do
so, it may generally or with respect to a particular taxable property or business or a class of
taxable property or business, do one or more of the fallowing, with or without conditions:
(a) cancel or reduce tax arrears;
(b) cancel or refund all or part of a tax;
(c) defer the collection of a tax."
NOW THEREFORE, the Council of Kneehili County, duly assembled, enacts as follows:
INTRODUCTION
1. TITLE
This Bylaw shall be known as the Residential Tax Arrears Payment Plan Bylaw.
2. TAX ARREARS PAYMENT PLAN
The Municipality is authorized to establish a payment plan for outstanding
residential taxes including taxes in arrears.
3. DEFINITIONS
In this bylaw the following words and phrases mean:
"Council" means the Elected Council of the Municipality of Kneehill County.
"Act" means Municipal Government Act.
Bylaw No. 1891, Tax Arrears Payment Plan Bylaw Page Z of 4
"Municipality" means the Municipality of Kneehill County.
"Current Taxes" means taxes imposed in the current year.
"Taxes in Arrears" means taxes that are outstanding following the year they
were issued.
"Outstanding Taxes" means tax amounts that haven't been paid by the
municipality's deadline of the current year.
"Tax Arrears Payment Plan" is in reference to an agreement signed between the
municipality's designate and the Ratepayer.
"Municipal Property Tax Officer" is a designated employee of the municipality
appointed pursuant to the Act.
- Ratepayer" is a person who owns land within the oundariesof Kneehill
County.
"Penalties" means unpaid penalties pursuant to the current Tax Penalty Bylaw in
effect.
"Default" means the scheduled payment was missed and no rescheduled
payment was arranged with the Municipal Tax Officer by the following payment
date.
4. APPLICATION
4.1 The Tax Arrears Payment Plan is applicable to residential properties only.
4.2 Residential ratepayers with taxes in arrears may at any time apply to the
Municipal Tax Officer designate to pay taxes in arrears by installments.
4.3 An application form, provided by the Municipal Property Tax Officer, is
required to be approved to participate in the Tax Arrears Payment Plan and is
required to enable the Municipality to collect payment.
4.4 The effective date of the Tax Arrears Payment Plan shall be the date the
application is approved by the Municipal Property Tax Officer. Approval is
pursuant to the Taxpayer completing all agreements and forms.
4.5 Penalties will subside on accounts enrolled in the Tax Arrears Payment Plan
effective the date the application is approved. Penalties posted on account
prior to the agreement will remain and still be required to be paid as they are
part of the taxes in arrears.
Bylaw No. 1891, Tax Arrears Payment Plan Bylaw Page 3 of 4
4.6 Upon payment in full of the funds to be collected via the Tax Arrears
Payment Plan the applicant may enroll in the Tax Installment Payment Plan
or arrange payment through their mortgage provider.
4.7 The Ratepayer may withdraw from the Tax Arrears Payment Plan at anytime
upon written notice to the Municipal Property Tax Officer. Two weeks' notice
is required to cancel preauthorized debits prior to the next scheduled pre -
authorized debit. Upon.cancellation, all outstanding tax balances shall
become due and are subject to penalties.
5. INSTALLMENTS
5.1 Section 340 of the Municipal Government Act provides Council the authority
to permit taxes to be paid by installments, at the option of the ratepayer.
- - - - - 5.2 Taxes shall be paid -with a monthly installment payable on the dates
established under the Tax Arrears Payment Plan by way of pre -authorized
debits from the applicant's bank account or other method(s) as per Policy 16-
17 (Acceptable Methods of Payment).
5.3 The term of a Tax Arrears Payment Plan shall be determined between the
Rate Payer and the Municipal Property Tax Officer. This will consider the
amount of the payment, frequency of payments, dates taken and shall not
exceed a maximum of twenty-four months from the effective date of the
agreement.
5.4 As per Section 413 of the Municipal Government Act, a property that is in
two years of Arrears will be added to an Arrears list resulting in a Caveat on
the property will be registered with Land Titles as of March 31. The property
owner will need to pay the $100 registration fee. While on the payment plan
administration will take no further action toward a tax sale of the property.
5.5 If scheduled payments that were agreed upon by the terms of the Tax
Arrears Payment Plan are deemed to be in default, the Tax Arrears Payment
Plan shall be automatically cancelled, and all amounts shall become due and
payable as of the cancellation date.
5.6 Defaulted payments may be subject to additional charges as per the current
Master Rates Bylaw and Tax Penalty Bylaw.
6. SALE OF LAND
6.1 When an owner sells a property that has a current Tax Arrears Payment Plan
all current taxes and taxes in arrears are due effective of the closing date.
6.2 The Ratepayer must notify the Municipal Property Tax Officer or their
designate, in writing, of the pending sale to cancel the preauthorized debits.
Bylaw No. 1891, Tax Arrears Payment Plan Bylaw Page 4 of 4
7. ADJUSTMENTS
7.1 The Municipal Property Tax Officer may revise the amount of the monthly
installments payable under a Tax Arrears Payment Plan;
7.1.1 to reflect changes to the assessed value of the property.
7.1.2 to reflect differences in the estimated and actual taxes
during the term of the agreement period.
7.1.3 to account for a lump sum payment made by the
Ratepayer.
7.1.4 to account for or reflect other matters the Municipal
Property Tax Officer considers reasonable.
7.2 Monthly installment revisions will be communicated to the Ratepayer, in
writing, prior to actioning the revision.
8. EFFECTIVE DATE
8.1. This bylaw comes into effect upon third reading of this bylaw.
READ a first time on this 12th day of September, 2023.
READ a second time on this 12th day of September, 2023
READ a third time and final time on this 261h day of September, 2023.
3
Date Bylaw Signed
r
Reev
4f Jerry Wittstock
/
OiX2,-
Chf' f Administrative Officer
Mike Haugen