BC Assessment has recently mailed assessment notices to property owners across Penticton. Although the average residential property value has increased 14%, the City of Penticton is reminding residents that an increase in the value of your property does not necessarily result in equivalently higher taxes.
The City of Penticton has an annual budget, which determines the amount of property tax revenue needed to fund important services used every day in the community. Property assessment values may go up or down but the city-wide total property taxes budgeted for does not change based on assessments. Tax rates are set before May 15th each year and the budgeted amount of property tax revenue along with assessments are used to determine the rates. Property tax rates are set during the budget deliberation process which typically occurs in late November. However, due to the election in 2022, budget deliberation dates have been scheduled for mid-March 2023 with tax rate setting to occur during that process. Information on the timing of the 2023 budget process can be found here.
For example:
- If your property assessment increased by 14 per cent, your municipal tax will equal the budgeted rate change per cent.
- If your property assessment increased more than the 14 per cent average, the tax increase will be relatively higher than the budgeted rate change per cent.
- If your property assessment increased less than the 14 per cent average, the tax increase will be relatively lower than the budgeted rate change per cent.
If you have concerns with the assessed value of your property, you can appeal to BC Assessment by January 31 through the contact information on the notice.
For more on BC Assessment Notices, click here