Tribunals Ontario
Tribunaux décisionnels Ontario
Assessment Review Board
Commission de révision de l’évaluation foncière
ISSUE DATE:
October 31, 2022
FILE NO.:
WR 181692
Assessed Person(s):
G.S.
Applicant(s):
G.S.
Respondent(s):
City of Mississauga
Property Location(s):
Address Withheld
Municipality(ies):
City of Mississauga
Roll Number(s):
Roll Number Withheld
Appeal Number(s):
3482758
Taxation Year(s):
2021
Hearing Event No.:
772366
Legislative Authority:
Section 357(1)(d1) of the Municipal Act 2001, S.O. 2001, c. 25
APPEARANCES:
Parties
Representative
G.S.
K.S.
City of Mississauga
Sean Doyle
HEARD:
September 27, 2022 by telephone conference call
ADJUDICATOR(S):
Dan Weagant, Member
DECISION
OVERVIEW
1G.S. (the “Applicant”) filed an application with the City of Mississauga (“City”) to have her 2021 property taxes cancelled, reduced or refunded because she was unable to pay, due to either sickness or extreme poverty, under s. 357(1)(d1) of the Municipal Act, 2001, S.O. 2001, c. 25 (“Act”).
2The City has passed a by-law, delegating its authority to determine such applications to the Assessment Review Board (“Board”) under s. 357(11) of the Act.
3At the hearing, the Applicant was represented by her daughter K.S.
Issues for the Hearing
4At issue in this proceeding is whether the Applicant’s 2021 property taxes should be cancelled, reduced or refunded because of her inability to pay, due to sickness or extreme poverty. This requires the Board to determine:
if the Applicant was unable to pay her 2021 property taxes;
if the Board determines she was unable to pay her property taxes, the Board must then determine if the reason she was unable to pay was either sickness or extreme poverty; and
if the Board determines she was unable to pay due to sickness or extreme poverty, the Board must then decide the amount of the property taxes levied in 2021 to be cancelled, reduced or refunded.
Result
5The Board finds that the Applicant was able to pay the property taxes levied in 2021. The application is dismissed.
ANALYSIS
Issue 1 - Was the Applicant able to pay her property taxes in 2021?
6The effective total income received by the Applicant in 2021 was $24,887, made up of CPP benefits, OAS benefits and an insurance premium refund for a monthly average of $2,074, rounded.
7Total average monthly expenses in 2021 were:
Insurance (home and car): $169
Utilities: $252
Mortgage payments: $452
Medical expenses (including procedures in Poland): $102
Food: $600
Property maintenance: $30
Car expenses (gas and maintenance): $51
8The subject property is assessed at a value of $687,000. The amount owing on the mortgage at the end of 2021 was approximately $130,000. There is an agreement entered into by the Applicant and an unrelated party that a payment in the amount of $139,000 is to be paid upon the sale of the subject property. This leaves equity in the subject property exceeding $400,000.
9The Applicant has several vehicles that are stored on the subject property. One is a horse trailer and two are vehicles belong to the Applicant and K.S.; neither of which are operational. K.S. also parks her operational vehicle at the subject address. Finally, the Applicant had an operational vehicle for personal use. There was no evidence at the hearing as to the value of any of these vehicles.
Findings on Issue 1
10The Board has widely held that expenses related to the necessities of life and the maintenance of the subject property are considered non-discretionary expenses. The Board has also held that discretionary expenses should be considered separately from those expenses that are considered non-discretionary when determining whether an Applicant is able to pay taxes during the year for which the application is made.
11In this case, non-discretionary expenses total $1,656 per month on average. This is approximately $418 per month less than the income for 2021. That total is $5,016 for the year. In addition, the documentary evidence at the hearing shows that the Applicant had a bank balance of $1,461 at the end of 2021.
12The City submitted that after a senior’s property tax discount had been applied, the property taxes levied in 2021 were $5,072.05.
13In order for the application to be successful the onus of burden of proof lies with the Applicant. That means there must be sufficient evidence that the Applicant was unable to pay the property taxes levied in 2021. The evidence indicates that after all non-discretionary expenses were paid the Applicant had enough financial resources to pay the property taxes in 2021.
CONCLUSION
14The Board finds therefore, that the Applicant has failed to demonstrate that she was unable to pay the property taxes levied in 2021. Accordingly, the Board also finds that there is no reason to determine the reason for any inability to pay.
ORDER
15The application is dismissed.
"Dan Weagant"
DAN WEAGANT
MEMBER
Assessment Review Board
Website: www.tribunalsontario.ca/arb