Typically, you receive them on the last week of January.
This year, due to the recently revised municipal roll, they will be mailed out in/available online in February.
Plan for it like clockwork.
Were you severely impacted by Canada’s 6.8% hike in cost of living?
Did you hit the trigger rate with your variable mortgage?
Have you lost your job recently or you’re currently retooling in school?
Or maybe your portfolio is being hit hard, and we’re looking for some breathing room?
Not exactly an average year, many Canadians are seeking relief.
Typically, municipal taxes are due in two payments; March 1st and June 1st.
Late fees are compounded daily, and charged at Interest 0.75 % monthly and 0.41% penalty. However, the suggested payment arrangement minimizes the impact of the fees.
Of course, if you can, you’ll want to avoid the fees.
But cashflow is of essence. You can opt for 6 payments (March to August) to buy you some time.
Example: A 432,000 municipal evaluation gets taxed at $3,672.23 in semi-annual payments of $1,836.12. We opt for 6 payments, from March to August of $619.11. In the mentioned payment, you’re including a total of $42.42 fees.
If you have a home equity line of credit, you’re better suited to use this product with a lower rate, if you were to follow a similar arrangement of payments.
Just looking out for your best interest,
The GB fam