What is property assessment?
Property assessment is the process of assigning a dollar value to a property for taxation purposes. In Alberta property is taxed based on the ad valorem principle. Ad valorem means “according to value.” This means that the amount of tax paid is based on the value of the property. Property taxes are a primary source of revenue for municipalities. Property taxes are used to finance local programs and services, such as:
- Garbage collection
- Water and sewer services
- Road construction and maintenance
- Parks and leisure facilities
- Police and fire protection
Each municipality is responsible for ensuring that each property owner pays his or her share of taxes. Property assessment is the method used to distribute the tax burden among property owners in a municipality.
Property Tax Process
Tax Rates are set each year in May by Council.
- Tax notices are mailed out by the end of May.
- Taxes are due on or before June 30. There are several payment options.
- Late taxes incur a 5% penalty on July 1.
If you have not received your notice by the end of May, contact the Townsite Office. Late tax penalties still apply even if you did not receive a notice.
Your Property Tax Notice
In addition to your assessment information, you will see two tax sections on your notice:
The section on the left is Municipal Taxes. These tax amounts are set by Redwood Meadows Town Council. They include:
- Municipal Levy: Generates the annual revenue required to support delivery of Townsite services.
- Emergency Services: Generates the annual revenue required to support delivery of emergency services.
School Taxes / Other Requisitions
The section on the right side is School Taxes / Other Requisitions. These tax amounts are set by the Province of Alberta.
- School/Education:Generates revenue to support the annual requisition from the Government of Alberta. The Province sets the education tax rates on behalf of the Alberta School Foundation Fund (ASFF) and Roman Catholic School District (RCSD). A seniors rebate is available for this tax.
Property Tax Formula
County property taxes are calculated based on the application of the following formula:
Assessed Value x Residential Tax Rate
If the assessed value of a residential property was $450,000, and the residential tax rate for the year was 0.0049939, the estimated taxes on that property would be:
$450,000 x 0.0049939 = $2247.26