Understanding Municipal Taxes and Property Assessments
In 2017, BC Assessment reported an average increase of 20-25% for most properties on Bowen Island. There are 1,740 single family dwellings on Bowen, each with an average value of $960,000.
How your taxes are calculated
Municipal Property taxes are calculated by dividing the assessment value for your property by 1,000 and multiplying that figure by the tax rate established for your property class.
There are a number of factors that affect your property taxes on a particular property:
- Changes in assessed value
- Changes in the Municipality's property tax rate
- Changes in other taxing authorities' tax rate
Amounts collected for other taxation authorities
The Municipality is required by the Province to collect taxes on behalf of other taxing authorities and in turn remits these taxes directly. These agencies include the Municipal Finance Authority, BC Assessment, Islands Trust, Metro Vancouver, Translink and the Province of BC for School taxes. The Municipality has no control over the amounts levied as the agencies determine their own rates based on their own budgetary requirements.
Why did your taxes go up more than the approved property tax increase?
If the changes in your property value are higher than the average change in your property class your taxes payable may be higher than the approved property tax increase. Similarly, if the changes to your property value are lower relative to the average change in your class, you may see a reduction in your taxes payable.
How your property is assessed
BC Assessment is an independent provincial crown corporation that determines the values of all properties in British Columbia. When establishing the market value of a property, BCA considers factors including real estate market, location, size, age and condition of buildings. Your assessment is based on the valuation of your property as of July 1st of the previous year and all owners are mailed their Property Assessment Notice by December 31st of each year.
Last Updated on 2017-09-28 at 8:27 AM