Relief For High Assessments

Relief is in sight for Nova Scotian property owners who have been impacted in recent years by skyrocketing assessments, Service Nova Scotia and Municipal Relations Minister Barry Barnet announced today, Oct. 29.

"Many Nova Scotians have seen their property assessment skyrocket in recent years because they live in a hot real estate market," Mr. Barnet said. "When their assessment increases, there is usually a related increase in their municipal tax bill. What we're doing today is providing some relief to those Nova Scotians who, through no fault of their own, have been affected by sudden and dramatic increases in property taxes."

Service Nova Scotia and Municipal Relations will be contacting the estimated 65,000 Nova Scotians who may be eligible for an assessment cap. These property owners will be sent letters explaining the cap along with an application form.

The new program allows property owners to apply for a cap on the assessed value of their property. Eligible property owners will pay property tax based on the capped amount rather than the higher market value.

To be eligible, a property must meet all the criteria, which include being at least 50 per cent owned by a Nova Scotia resident, is residential with no more than three dwelling units or is vacant taxable resource property, and have a property assessment increase that exceeds the cap.

The base year is 2001, and the cap for the subsequent years is 15 per cent increase in 2002, 15 per cent in 2003, 10 per cent in 2004 and 10 per cent in 2005. The program will become effective beginning with the 2005-06 municipal taxation year.

Applications, which will be mailed to potentially eligible property owners, must be received by Service Nova Scotia and Municipal Relations by Nov. 30. Applicants will be informed in February 2005 if they are eligible for the cap program. For more information, see the website at www.nsassessment.ca/cap .