Tribunals Ontario
Tribunaux décisionnels Ontario
Assessment Review Board
Commission de révision de l’évaluation foncière
ISSUE DATE:
September 01, 2022
FILE NO.:
WR 181242
Assessed Person(s):
D.S.
Applicant(s):
D.S.; R.S.
Respondent(s):
City of Belleville
Property Location(s):
Address Withheld
Municipality(ies):
City of Belleville
Roll Number(s):
Roll Number Withheld
Appeal Number(s):
3480171
Taxation Year(s):
2021
Hearing Event No.:
768764
Legislative Authority:
Section 357(1) (d.1) of the Municipal Act, S.O. 200`, c. 25, as amended
APPEARANCES:
Parties
Representative
D.S.
Self-represented
City of Belleville
No-one appeared
HEARD:
August 29, 2022 by telephone conference call
ADJUDICATOR(S):
Margarita Okhovati, Member
DECISION
OVERVIEW
1D.S. and R.S. (“the Applicants”) filed an application to the City of Belleville (“City”) to have their 2021 property taxes cancelled, reduced or refunded because they were unable to pay, due either to sickness or extreme poverty, under s. 357(1)(d.1) of the Municipal Act, S.O. 2001 c. 25 (the “Act”).
2The City has passed a by-law delegating its authority to determine such applications to the Assessment Review Board (the “Board”).
Issues for the Hearing
3The main issue before the Board is whether the Applicants’ 2021 property taxes should be cancelled, reduced or refunded due to their inability to pay because of sickness or extreme poverty. This requires the Board to determine:
if the Applicants were unable to pay their 2021 property taxes; and
if the Board determines they were unable to pay their property taxes, the Board must then determine if the reason they were unable to pay was either sickness or extreme poverty.
4Finally, if the Board determines that they were unable to pay because of sickness or extreme poverty, the Board must then decide on the amount of the property taxes levied in 2021 to be cancelled, reduced or refunded.
5In this case, the property taxes levied on the Applicants’ home for 2021 taxation year was $2,564.93. The Applicants did not pay their 2021 taxes.
Result
6Based on the evidence before it, the Board finds that the Applicants failed to demonstrate that they were unable to pay the property taxes levied in 2021. The application is dismissed.
ANALYSIS
Issue 1 – Was the Applicant able to pay the property taxes levied in 2021?
7Applicant D.S. (“the Applicant”) testified on her own behalf and on behalf of her spouse. She did not provide all the necessary documents for the hearing. The Board decided to proceed with the hearing based on the Applicant’s submitted documents, her oral testimony and in the absence of the City representative.
8The Applicant testified that in 2021, she received a monthly income of $5,984.33. This income was derived from her Canadian Pension Plan (“CPP”), Old Age Security (“OSP”) payments and settlement paid by an insurance company as a result of a workplace accident. She also helped her daughter by taking care of her grandchild for which she received $40.00 cash per month ($480.00 in total) The monthly income of her husband in 2021 was $1,363.15, from CPP and OSP payments. She reported a total household income of $7,827.48 per month.
9Monthly household expenses reported by the Applicant for 2021 totaled approximately to $1,684.00. These expenses are summarized as follows:
Mortgage: $ 0.00
Hydro $180.00
Home insurance: $155.00
Car insurance: $ 93.00 (For one car and one truck)
Gas: $150.00
Medication: $203.00
Clothing $100.00
Food $500.00
Telephone/Internet/cable $295.00
Life Insurance $ 8.00
Expenses Total: $1,684.00
Net Total $6,143.48
10The Municipal Property Assessment Corporation’s (“MPAC”) estimated value of the subject property for the 2021 taxation year is $209,000. The City did not provide the Board with the value of the similar properties sold in the vicinity of the subject property in 2021. Therefore, the Board will take the MPAC’s valuation as the value of the subject property.
Assets
Subject Property: $209,000.00
Balance in bank accounts $ 6,270.05
Life insurance $ 1,728.00
Registered Retirement
Savings Plan (“RRSP”) $ 48,542.53
Car and Truck $ 26,000.00
Assets Total $291,540.58
Liabilities
Mortgage: $ 0.00
Line of credit: $75,000.00
Credit cards: $12,907.37
Liabilities Total: $ 87,907.37
Net Worth Total $203,633.21
11The Applicant confirmed the above figures and did not testify to any other household financial liabilities or assets.
Findings on Issue 1 - Ability to Pay
12As stated above, the Applicants’ outstanding taxes for 2021 taxation year is $2,564.93 ($213.74 per month). The submitted documents showed their monthly income was $6,143.48 more than their expenses. In addition, their bank accounts showed a balance of $6,270.05 at the end of 2021 and a total of $50,270.53 in the Applicant’s RRSP and life insurance.
13Therefore, it is the Board’s finding that the Applicants could have used these amounts to pay their 2021 taxes in full without cutting from the necessities of life and that they are not in a negative situation when it comes to poverty.
14Having decided that the Applicants were able to pay their property taxes in 2021, the Board has no reason to consider whether the Applicants are in a condition of sickness or extreme poverty.
ORDER
15The Board orders that the application is dismissed.
"Margarita Okhovati"
MARGARITA OKHOVATI
MEMBER
Assessment Review Board
Website: www.tribunalsontario.ca/arb