This section provides information for property owners on the determination of a market value for all real property in the province. Property assessment forms the basis for the collection of provincial and municipal property taxes.
Property assessment refers to the determination of a market value for all real property, as defined by the Real Property Assessment Act and Real Property Assessment Act Regulations, on an annual basis. This value forms the basis for the collection of provincial and municipal property taxes.
What is my market value assessment?
All real property is assigned a market value assessment by professional property assessors employed by the Province. This value is initially set based on such factors as cost of construction and uniformity of property types and locations. This value may be adjusted annually to reflect increases in the market value of property in your area.
What is my taxable value assessment?
The taxable value assessment is the assessment used to determine annual property taxes.
Owner-occupied residential properties are eligible for the owner-occupied residential assessment program. This program serves to protect Islanders from significant year-over-year assessment increases by capping the taxable value assessment to increase in the Consumer Price Index (CPI), or 5%, whichever is lower. The taxable value assessment for owner-occupied residential properties for the current year is the prior year taxable value assessment increased by the change in the CPI for the prior year, to a maximum of 5%. Under the owner-occupied residential assessment program, the taxable value assessment will not exceed the market value assessment.
The taxable value assessment can also increase as a result of improvements made to your property.
For all property other than owner-occupied residential property, the taxable value assessment is the market value assessment.
What is owner occupied residential property?
Owner occupied residential property is defined as residential property that is not used (leased, rented, etc.) for any portion of a taxation year (January – December) by anyone other than the deeded owner(s).
Why is there a difference between my market value assessment and my taxable value assessment?
The market value assessment of your property may have increased annually based on economic factors and an analysis of sales activity for property in your area.
The taxable value assessment, however, increases annually based on the percentage increase in Consumer Price Index (CPI) for the prior year to a maximum of 5%. Under the owner-occupied residential assessment program, the taxable value assessment will not exceed the market value assessment.
Will the Taxable Value Assessment ever be equal to the Market Value Assessment?
When an owner occupied residential property is:
1) initially added to the assessment roll; or
2) when a property that exists on the assessment roll is conveyed to a new owner,
the Taxable Value Assessment can be set to be equal to the Market Value Assessment. The Taxable Value Assessment will also be equal to the Market Value Assessment if annual increases in CPI are equal to or are greater than annual market value adjustments. In this circumstance, the Taxable Value Assessment will not exceed the market value assessment.
What factors are considered in determining my property assessment?
The primary factors that determine the market value assessment of a property include:
- Location of the property
- Quality of the site
- Nature of any improvements
- Size, quality and condition of any structures on the property
- Demand and market activity in the area
Is the process for assessment of income producing properties different?
Owners of income producing properties may on occasion be requested to provide income information to allow for the proper assessment of the income producing property. In these cases the property owner will be asked to complete a Questionnaire on Income Producing Properties (727 Kb) form or a Verification of Purchase Information and Questionnaire on Income Producing Properties(663 Kb) form.
How do I find out what the property assessment value is for my property?
A property tax bill is mailed to property owners in May of each year. The Notice of Property Assessment is part of this bill and can be found on Page 3.
If you are a property owner and you do not receive a property tax bill in May, of each year please refer to Owner Name and Mailing Address used for Property Tax Bills or contact Taxation and Property Records at (902) 368-4070.
Property owners are responsible to ensure that they receive their annual property tax bill.
What if I feel my property assessment value is not correct?
If you do not feel that your property assessment reflects the value of your property, please refer to the Property Assessment Referral and Appeal procedures or contact Taxation and Property Records at (902) 368-4070.
Does property assessment differ for a mobile/mini home?
Yes. If the mobile home is not affixed by foundation to the land it sits on it will be valued independently of the land. There will be a market value assessment assigned to the mobile/mini home and a separate market value assessment assigned to the land. In these cases two property tax bills are created – one for the mobile/mini home and one for the land.