Law Summary

SECTION 1: Reduction of Property Assessment

• Legal Principle/Provision: This section allows for the reduction of the assessment and valuation of real property for the year 1906 and subsequent years if the assessment is deemed excessive or erroneous.

• Key Definitions Introduced:

  • Excessive or Erroneous Assessment: An assessment that is found to be unjust or incorrect, not due to subsequent damage or deterioration.

• Important Requirements or Procedures Outlined:

  • Property owners can apply for a credit if they have paid taxes on an erroneous assessment.
  • The proper provincial treasurer must issue a certificate of credit for the difference in tax amounts.

• Relevant Timeframes, Deadlines, or Expiration Details: None specified in this section.

• Penalties, Liabilities, or Consequences Mentioned: None specified in this section.

  • Tax assessments may be reduced by more than 25% if found unjust.
  • Owners who paid taxes on such assessments are entitled to credit.
  • Provincial treasurer must issue a credit certificate reflecting the tax difference.

SECTION 2: Non-transferability of Credit Certificates

• Legal Principle/Provision: The certificates issued for tax credits are non-transferable and can only be applied to future land taxes on the relevant property.

• Key Definitions Introduced:

  • Credit Certificate: A document stating the credited amount due to an erroneous assessment.

• Important Requirements or Procedures Outlined:

  • Certificates must specifically state their non-transferability and usage limitations.

• Relevant Timeframes, Deadlines, or Expiration Details: None specified in this section.

• Penalties, Liabilities, or Consequences Mentioned: None specified in this section.

  • Credit certificates can only be used for taxes due on the assessed property.
  • They are not transferable to other properties or for other payments.

SECTION 3: Payment of Taxes on Reduced Assessments

• Legal Principle/Provision: Taxpayers whose property assessments have been reduced are granted a period to pay taxes without penalties.

• Key Definitions Introduced: None specifically introduced in this section.

• Important Requirements or Procedures Outlined:

  • Taxpayers have 60 days from notice of assessment reduction to pay without penalty.

• Relevant Timeframes, Deadlines, or Expiration Details:

  • 60-day period starts upon notice of reduced assessment.

• Penalties, Liabilities, or Consequences Mentioned:

  • Failure to pay within the 60 days results in penalties retroactive to the original due date.

  • Taxpayers receive 60 days to pay taxes following a reduction notice.
  • Late payments incur penalties from the original due date.

SECTION 4: Notification of Taxpayers

• Legal Principle/Provision: The provincial treasurer must notify taxpayers of the reduction in assessment and their rights to apply for a credit.

• Key Definitions Introduced: None specifically introduced in this section.

• Important Requirements or Procedures Outlined:

  • Notice must be sent via postal service to the taxpayer's residence or municipality.

• Relevant Timeframes, Deadlines, or Expiration Details: None specified in this section.

• Penalties, Liabilities, or Consequences Mentioned: None specified in this section.

  • Taxpayers must be notified of assessment reductions promptly.
  • Notices include information about credit entitlements and payment deadlines.

SECTION 5: Retroactivity of the Act

• Legal Principle/Provision: The Act is retroactively applicable to cases falling under the provisions of Section 1.

• Key Definitions Introduced: None specifically introduced in this section.

• Important Requirements or Procedures Outlined: None specified in this section.

• Relevant Timeframes, Deadlines, or Expiration Details: The retroactive effect is applicable to all cases meeting the criteria.

• Penalties, Liabilities, or Consequences Mentioned: None specified in this section.

  • The Act applies retroactively to relevant assessments from 1906 onwards.

Key Takeaways

• Act No. 1943 provides relief for property owners subjected to excessive land tax assessments starting from 1906.
• Owners can receive non-transferable credit certificates for taxes paid on erroneous assessments.
• There is a 60-day window to pay taxes on reduced assessments without penalty.
• Provincial treasurers are mandated to notify affected taxpayers promptly of their rights and obligations.
• The legislation applies retroactively to ensure fairness in tax assessments.