Tribunals Ontario
Assessment Review Board
ISSUE DATE: November 10, 2022 FILE NO.: WR 181793
Assessed Person(s): J.O. Applicant(s): J.O. Respondent(s): City of Mississauga Property Location(s): Address Withheld Municipality(ies): City of Mississauga Roll Number(s): Roll Number Withheld Appeal Number(s): 3484272 Taxation Year(s): 2021 Hearing Event No.: 776066
Legislative Authority: Section 357(1)(d1) of the Municipal Act 2001, S.O. 2001, c. 25
APPEARANCES:
Parties J.O.
Representative Self-represented
Parties City of Mississauga
Representative Sean Doyle
HEARD: October 5, 2022 by telephone conference call
ADJUDICATOR(S): Dan Weagant, Member
DECISION
OVERVIEW
1J.O. (the “Applicant”) filed an application with the City of Mississauga (“City”) to have his 2021 property taxes cancelled, reduced or refunded because he 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.
Background
3In early 2020, the Applicant’s driver license was suspended for non-payment of family support. This affected his ability to carry out his duties as a self-employed contractor, and hence, his ability to earn income. The Applicant testified that it was not until mid-2021 when his driver license was re-activated, and he was then able to re-start his contracting business.
4The Applicant testified that he had suffered from disabilities for years before the year for which this application is made. He adduced documents from medical professionals attesting to his multiple medical conditions and their respective opinions that the Applicant was not able to work in 2021.
5In 2020, the Applicant entered into a loan agreement with his mother, M.O. This agreement provided for support payments to the Applicant from time to time, to a total of $150,000. The loan agreement indicated an interest rate of 0%, with no repayment schedule. The agreement stipulated that any outstanding balance be re-paid when the Applicant was able to do so.
Issues for the Hearing
6At issue in this proceeding is whether the Applicant’s 2021 property taxes should be cancelled, reduced or refunded because of his inability to pay, due to sickness or extreme poverty. This requires the Board to determine:
- if the Applicant was unable to pay his 2021 property taxes;
- if the Board determines he was unable to pay his property taxes, the Board must then determine if the reason he was unable to pay was either sickness or extreme poverty; and
- if the Board determines he 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
7The Board finds that the Applicant has failed to demonstrate that he was unable to pay the property taxes levied in 2021. The application is dismissed.
ANALYSIS
Issue 1 - Was the Applicant able to pay his property taxes in 2021?
8The Applicant had $5,783 income per month, according to his testimony and the documents available at the hearing. This income was made up of Canada Emergency Relief Benefits and deposits made to the Applicant’s account from his mother, in accordance with their loan agreement.
9Average monthly household expenses incurred by the Applicant in 2021 were approximately $6,357 as follows (rounded to nearest dollar):
- Utilities (electricity, gas, water): $456
- Car expense (maintenance, fuel, licensing and insurance): $1,497
- Cell phone and telecom: $230
- Mortgage: $2,709
- Food / Groceries / household expenses: $253
- Legal fees: $1,212
10At the end of 2021, the Applicant had a bank balance of $3,976.10.
The City’s Submissions
11The City of Mississauga took no position on the application as it has delegated its authority in determining such applications to the Board for disposition.
12The City testified that the property taxes levied in 2021 totaled $4,954.90 and that in 2021, payments totaling $800 were paid, resulting in an amount owing of $4,154.90.
Findings on Issue 1
13Payments made by the Applicant were $800 in 2021. This results in an amount owing of $4,154.90. After all non-discretionary household expenses were paid in 2021 the Applicant had $3,976.10 available for the payment of taxes.
14The shortfall experienced by the Applicant on property tax payments in 2021, having drawn upon all available