J.K. v. City of Toronto, 2023 CanLII 83077

Tribunals Ontario

Tribunaux décisionnels Ontario

Assessment Review Board

Commission de révision de l’évaluation foncière

ISSUE DATE: September 06, 2023

FILE NO.: WR 184905

Assessed Person(s): J.K.

Applicant(s): J.K.

Respondent(s): City of Toronto

Property Location(s): Address Withheld

Municipality(ies): City of Toronto

Roll Number(s): Roll Number Withheld

Application Number(s): 3509862

Taxation Year(s): 2022

Hearing Event No.: 781291

Legislative Authority: Section 323(1)(e) of the City of Toronto Act, 2006, S.O. 2006, c. 11, Sched. A

Parties	Representative/Counsel*
J.K.	Self-represented
City of Toronto	Laura Nyman*

HEARD: August 14, 2023, in writing

ADJUDICATOR(S): Dan Weagant, Member

DECISION

OVERVIEW

1Section 323, subsection (1) of the City of Toronto Act (“Act”) permits the City of Toronto (“City”) to cancel, reduce or refund all or part of the taxes levied on a property in a given taxation year, for a list of reasons.

2J.K. (the “Applicant”) filed an application with the City to have his 2022 property taxes cancelled, reduced or refunded because he was unable to pay, due to either sickness or extreme poverty, as provided for in subsection (1)(e) of the Act.

3The City has passed a by-law, delegating its authority to determine such applications to the Assessment Review Board (“Board”) under s. 323(11) of the Act.

Issues for the Hearing

4At issue in this proceeding is whether the Applicant’s 2022 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:

1. if the Applicant was unable to pay his 2022 property taxes;
2. 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
3. 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 2022 to be cancelled, reduced or refunded.

Result

5The Board finds that the Applicant has failed to demonstrate that he was unable to pay the property taxes levied in 2022. The application is dismissed.

ANALYSIS

Issue 1 – Was the Applicant able to pay his property taxes in 2022?

6The Applicant submitted the following documents in support of the application:

1. a partially completed ‘Financial Information Form’ as requested by the City; submitted June 1, 2023;
2. monthly statements from a bank account, showing transactions from December 20, 2021 through December 31 2022; heavily redacted;
3. three ‘pay stubs’ indicating the payment of benefit premiums issued in February and April of 2023; heavily redacted; and
4. a list of monthly expenses; undated.

7The City submitted that the application should be dismissed, because:

1. the Applicant has not produced sufficient documentation in support of the application;
2. the bank account statements submitted have been redacted to such an extent that it is impossible to discern the source of income received and the destination of the expenses incurred;
3. the amounts indicated on the partially completed ‘Financial Information Form’ cannot be verified as the Applicant has not submitted any supporting documentation;
4. the Applicant has failed to produce adequate documentation in support of the application as ordered by the Board’s Procedural Orders, dated May 12, 2023 and June 15, 2023. Those Orders clearly state that a failure to produce the documentation listed therein may result in a dismissal of the application; and
5. the 2022 property taxes levied, in the amount of $3,052.24 were paid as of December 31, 2022, noting the Applicant had $951.90 in his bank account on that date. This indicates he was able to pay the property taxes levied in 2022.

8The Applicant’s bank records indicate total income from deposits of $60,239.34 in 2022. $31,247.70 of that total was made by 13 separate deposits from ‘Manulife’. In all 13 cases where a deposit was made, there was an unexplained, corresponding payment out to an undisclosed destination.

9The remaining deposits to the bank account were from undisclosed sources. The total income shown amounts to approximately $5,020 per month.

10The Applicant’s expense summary indicated the following monthly costs (all rounded to the nearest dollar):

• Condominium fees: $690
• Benefits premiums: $779
• Insurance premiums: $31
• Credit card payments: $1,000
• Mortgage payments: $1,044
• Cell phone: $49
• Internet: $43

11Monthly expenses submitted by the Applicant total $3,675 (rounded).

12The Board notes that this total does not include expenses for groceries, property taxes or general household expenses. The property taxes paid in 2022 average $255 per month. When this is added to the expenses adduced by the Applicant, that monthly total is $3,930, or approximately $1,090 less than the average monthly income.

13This would indicate that, accounting for the $952 bank account balance on December 31, 2022, there was approximately $13,080 available to the Applicant for food, household expenses and costs for personal items in 2022, after the property taxes were paid.

Findings on Issue 1

14The Board must first determine if the Applicant was able to pay his property taxes, based on the evidence available at the hearing. In order to make a finding on the Applicant’s ability or inability to pay the taxes levied in 2022, the Board requires a clear accounting of the Applicant’s income and expenses.

15While it is clear that the documentary evidence adduced by the Applicant does not meet the requirements of the two Procedural Orders, it constitutes the only relevant evidence as to the Applicant’s inability to pay the property taxes levied.

16From these documents, the Board finds that after all disclosed expenses were paid, including property tax payments, the Applicant had over $13,000 left over to cover his personal needs, including food and clothing.

17This is clear evidence that the Applicant was able to pay the property taxes in 2022.

18The Board finds therefore, that the Applicant has failed to demonstrate that he was unable to pay the property taxes levied in 2022. The Board also finds that there is no reason to determine the reason for any inability to pay.

ORDER

19The application is dismissed.

"Dan Weagant"

DAN WEAGANT MEMBER Assessment Review Board

Website: www.tribunalsontario.ca/arb