Municipalities defend business tax rates

B.C. cities and towns still charge businesses almost three times the residential rate on average, according to the Canadian Federation of Independent Business.

Union of B.C. Municipalities president Barbara Steele

Local governments in B.C. have shown “a sliver” of improvement in their tax policies, but still place too heavy a burden on business, the Canadian Federation of Independent Business says in its annual survey.

“In 2010, small businesses paid 2.79 times more in property taxes than residents on the same value of property,” the CFIB says in its latest report, released Tuesday. “The business share of property taxes has been increasing over the last two decades, but dropped slightly over the past year.”

Out of 160 B.C. municipalities surveyed, 24 kept business taxes down to twice the residential rate or less. That’s the CFIB’s target rate for taxes.

The federation’s “worst offenders” list for 2010 is topped by North Saanich, one of the 13 municipalities that crowd the Victoria region. It charges more than six times the tax on business property as the equivalent residential value (6.05).

The rest of the list is Revelstoke (5.86), Kitimat (4.69), Coquitlam (4.69), Vancouver (4.55), Tumbler Ridge (4.33), Metchosin (4.12), Castlegar (4.04), Ashcroft (4.01), Lantzville (4.00), North Vancouver City (3.94), Burnaby (3.88), Logan Lake (3.87), Comox (3.82), View Royal (3.77), Whistler (3.75), Terrace (3.73), New Westminster (3.73), Colwood (3.67) and Hudson’s Hpe (3.67).

Prince George taxes business property at about twice the rate as residential, which is the ratio that the Union of B.C. Municipalities has advocated for several years.

The UBCM issued a sharply worded response to the CFIB survey in its June newsletter. Surrey Councillor Barb Steele, the current UBCM president, said administrative overhead has generally gone down, while municipal spending has increased mainly for protective services, parks and recreation.

“The CFIB has a simple answer for the complexities of local government finance: cut spending,” Steele said. “It’s a hollow exercise to lecture about spending before considering the people who rely on the services municipalities provide.”

The UBCM calculates that the overall share of property tax paid by business has declined slightly in the past 20 years, while the total share paid by residential owners has gone up by seven per cent.

Reaching the business group’s target of a two-to-one ratio would result in a tax hike of $230 for the average B.C. homeowner.

Just Posted

Two of Chemainus photographer Marston’s images picked among National Geographic’s 2018 elite

Rare double honour from the 36 best Your Shots out of nearly 19,000 photos

Police officer recounts wild car chase through downtown Ladysmith and Duncan

B.C. Supreme Court trial of Armaan Singh Chandi hears of pursuit following Nanaimo drive-by shooting

Ladysmith a stride closer to fitness trail

Work could get underway on initial groundwork this spring

Small external fire extinguished quickly at Catalyst’s Crofton pulp mill

Fire department called Monday afternoon as part of protocol, but services not needed

B.C. storm totals $37M in insured damages

The December storm wreaked havoc on B.C.’s south coast

B.C. opioid crisis to get same world-renowned treatment approach as HIV/AIDS

A program that focuses on treatment as prevention will roll out Jan. 17

Overworked and understaffed: More than 300 vacancies in Vancouver Island nursing

Tentative deal with province includes ‘working short premium’ to encourage hiring

Olympian snowboarder Max Parrot diagnosed with Hodgkin’s lymphoma

Each year in Canada, approximately 900 people are diagnosed with Hodgkin’s lymphoma

‘Prince of Pot’ Marc Emery accused of sexual assault, harassment

Emery denied the allegations, but a Toronto woman says she is not the only one speaking out

Ex-Liberal candidate in Burnaby, B.C., says volunteer wrote controversial post

Karen Wang dropped out following online post singling out NDP Leader Jagmeet Singh’s ethnicity

Asteroids are smacking Earth twice as often as before

The team counted 29 craters that were no older than 290 million years

Canada’s arrest of Huawei exec an act of ‘backstabbing,’ Chinese ambassador says

China has called Canada’s arrest of Huawei chief financial officer Meng Wanzhou ‘politically motivated’

First Nations take over off-reserve family services in mid-Island region

Kw’umut Lelum hosts grand opening of new Nanaimo office

RCMP’s use of force in arrest of Island man not excessive, judge rules

Campbell River man high on cocaine led high speed chase through city’s downtown

Most Read