Ontario's Property Assessment System
The Municipal Property Assessment Corporation (MPAC) has been working on updating the assessment values for all properties in the Province of Ontario. This reassessment is mandated by Provincial legislation. These new assessment values will have a valuation date of January 1, 2016 and these assessment values will be applicable for the 2017 - 2020 property tax years.
Currently the valuation date is January 1, 2012 and similar to prior reassessments, the valuation change from the January 1, 2012 to the new January 1, 2016 value will be phased in over the next four years (2017- 2020).
The assessment values are being sent out to Ontario property owners on staggered dates around the Province. The notices for residential properties in the Town of Whitby were mailed on Monday June 20, 2016.
The non-residential properties in the Town of Whitby will have their notices mailed in the fall 2016.
One of the new changes for this reassessment cycle is the residential property Request for Reconsideration application deadline for the 2017 taxation year. Historically the property owners will had until March 31st of the taxation year to file a Request for Reconsideration for that taxation year.
As a result of some legislative changes, the Request for Reconsideration filing deadline for the 2017 year has been shortened to 120 days from their Reassessment Notice issue date. For Town of Whitby residential properties this deadline will be October 18, 2016 for the 2017 taxation year.
This filing deadline change is only for the first year of the new reassessment cycle. The March 31st application deadline will be in place for the 2018- 2020 taxation years.
Four-Year Assessment Update Cycle
These new reassessment notices include changes such as the introduction of a new four year assessment update cycle and a phase-in of assessment increases. The market increases in the assessed values between your January 1, 2012 and January 1, 2016 assessment values will be phased in over four years. This means that 25% of the increase will be phased in for each of 2017, 2018, 2019, and 2020. The Municipal Property Assessment Corporation has redesigned your property assessment notice to reflect these changes.
Whenever a reassessment occurs, the tax rates for all properties are adjusted to reflect the average change in assessment values.
The changes resulting from reassessment to each property are revenue neutral to the Town of Whitby. There are no additional tax dollars raised by the Town of Whitby as a result of the reassessment.
MPAC has advised the Town of Whitby that the average residential property increase for the 2016 reassessment was 9% per year for each year since 2012.or approximately 36% increase over the full reassessment cycle.
Please keep in mind that an increase in your assessment value does not necessarily mean an increase in your property taxes. Each property is affected differently by the reassessment, but in general, if your increase is close to the average for the Town of Whitby, then your taxes should not be affected significantly by the reassessment.
However, the annual property taxes for the property will still be affected by the annual budget process of the Town and Region and tax rate decision that are determined by the Province for school board purposes.
Learn more about how MPAC assesses your property.
Updated Assessment Appeal System Process
The Province has now made the Request for Reconsideration (RFR) program the first stage of the appeal process for homeowners. This means that residential property owners will not have to start with the Assessment Review Board option, which requires them to pay a filing fee to initiate their complaint.
The filing deadline for the Request for Reconsideration (RFR) program is March 31st for each of the taxation years 2018 to 2020 inclusive, for that particular taxation year.
Please note that for the 2017 taxation year, the deadline to ask for a Request for Reconsideration is October 18, 2016 for residential property owners. All Request for Reconsideration (RFR) applications must be submitted directly to the Municipal Property Assessment Corporation.
If you have any questions regarding your new assessment notice, your property assessment value, the Request for Reconsideration (RFR) Process, or appealing to the Assessment Review Board please contact the Municipal Property Assessment Corporation at 1.866.296.6722 or visit the MPAC website for more information.