Revenue Services

Property Assessment Notices

2017 to 2020 Property Tax Years

In 2016, the Municipal Property Assessment Corporation (mpac.ca) updated the assessed values of every property in Ontario. From May 27 to June 6, residential property owners in Toronto were mailed a 2016 Property Assessment Notice. In October 2016, non-residential property owners were mailed a 2016 Property Assessment Notice.

The Notice you received from MPAC provides the January 1, 2016 current value (what a property could have reasonably sold for on January 1, 2016) with phase-in assessed values for the next four years. These values are used by the City to calculate your taxes for the 2017-2020 property tax years. 

Increases in the assessed value of your property will be gradually phased-in over four years (2017– 2020). Decreases in the assessed value will be fully implemented in 2017.

To learn more about how MPAC assessed your property, or to compare your assessed value to others in your neighbourhood, visit aboutmyproperty.ca .If you disagree with your assessed value or have questions, contact MPAC for assistance.

Recent legislative changes to the Request for Reconsideration (RfR) process allow property owners 120 days from the issue date on their 2016 Property Assessment Notice to submit an RfR. For the majority of residential properties, this deadline occurred in 2016, see 2016 Property Assessment - Request for Reconsideration (RfR) Deadline for details.

Please visit our Tax and Assessment Appeals information to view the RfR deadline for non-residential properties. Visit aboutmyproperty.ca or mpac.ca for more information on the RfR and appeals process.

Please note, If you have made significant improvements or undertaken new construction, MPAC can revise your assessment within a three year period. Visit mpac.ca for further information.

 

Questions About Property Assessment

ExpandWhat is current value assessment?

Current Value Assessment is an estimate of the market value of your property at a fixed point in time (the valuation date), or the amount the property would sell for in an open market on a given date (i.e., a sale between a willing buyer and a willing seller.)

Comparing your assessment to similar properties in your area may be helpful in determining the accuracy of your assessment. You can visit aboutmyproperty.ca to see the information mpac.ca has on file for your property and compare your assessment to others in your area.

ExpandHow does MPAC determine property value?

There are a number of factors used to determine the value of a residential property including location, lot size, age of building and quality of construction. Other residential property features such as the number of bathrooms, a finished basement, fireplaces, garages and pools are also used. The site features of your property may also increase or decrease the assessed value of property for reasons such as traffic patterns, being situated on a corner lot, hydro corridor, railway or green space.

ExpandHow do I know if information used to assess my property is correct?

You should first review your Property Assessment Notice. If you think you could have sold your property for the assessed value as of January 1, 2016 then your assessment is likely accurate.

If you do not think you could have sold your property for that value, you should visit MPAC's online tool, aboutmyproperty.ca,to learn how and why your property was assessed the way it was.

You should also use the tool to compare your assessment with others in your neighbourhood. If you have questions, you should call MPAC at 1-866-296-MPAC (6722), or 1-877-889-MPAC (6722), or visit a local MPAC office.

If you believe your property information or your assessment is incorrect, you may file a Request for Reconsideration (RfR), and MPAC will review your assessment free of charge.

ExpandWill my property assessment be phased in?

Yes. Beginning in 2017 and continuing through 2020, property assessment values will be based on a January 1, 2016 valuation date (i.e., the full CVA of a property will reflect an estimated market value as of January 1, 2016). 

EXAMPLE of a Four Year Market Value Assessment Increase:

A residential property with a 2016 CVA of $592,000 (based on a January 1, 2012 valuation date) has been reassessed for 2017 at $770,000 to reflect a January 1, 2016 valuation date. The overall increase in CVA is $178,000, which represents a CVA increase of 30% over the past four years since the last reassessment. Under the phase-in program, the assessed value used for taxation purposes is increased each year by one-fourth of the total CVA change, or $44,500 per year, until the final “destination assessment” of $770,000 is attained in year four. The table below illustrates how assessment increases will be phased-in over the four year period 2017-2020 for this example.

Sample Calculation of Assessment Phase-in:

CVA based on January 1, 2020 valuation date: $770,000
CVA based on January 1, 2016 valuation date: $592,000
Change in CVA (total amount to be phased-in): $178,000

Annual amount to be phased-in: $178,000 / 4 years = $44,500 per year

Taxation Year 2016 2017 2018 2019 2020
Phase-in % -- 25% 50% 75% 100%
CVA figure used for taxation $592,000 $636,500 $681,000 $725,500 $770,000*

* In the example above, the "destination assessment" is the fully phased-in CVA with a January 1, 2016 valuation date.

The phasing in of assessment increases, provides a greater level of stability for property owners, and will help to smooth out market value increases. Taxpayers are better able to plan for changes in their assessments, given the element of predictability in property assessments.

ExpandWill my taxes increase?

Property owners should expect that the value of their property will increase over time. It is important to remember that an increase in a property’s assessed value does not necessarily mean that property taxes will increase in the same proportion. Each year, when property values increase, the City is required by law to adjust its tax rates so that the amount of property taxes collected remains the same – the reassessment does not generate any additional revenue for the City. 

This means that if a residential property has increased in value at the same rate as the average increase for all other residential properties within the municipality, there may be no increase in property taxes arising from the reassessment. Properties that have appreciated at a rate that is higher than the average for the municipality will experience an increase in taxes whereas a property which appreciates at a rate less than the average may experience a decrease in taxes.

ExpandWhat if I do not agree with my assessment?

Please contact MPAC with any questions you may have about your assessment. You can contact MPAC by phone 1-866-296-6722 or visit mpac.ca

If you believe the information on your Property Assessment Notice is incorrect, you may file a Request for Reconsideration (RfR) and MPAC will review your assessment free of charge. If you choose to file an RfR, you are encouraged to do so as soon as possible. Please be sure to take note of the RfR deadline that's printed on your notice.

ExpandHow do I file an Request for Reconsideration (RfR)?

A Request for Reconsideration (RfR) is a formal request to MPAC to review your property assessment. More information on how to file an RfR is on aboutmyproperty.ca.

Recent legislative changes to the Request for Reconsideration (RfR) process allow property owners 120 days from the issue date on their 2016 Property Assessment Notice to submit an RfR. For the majority of residential properties, this deadline occurred in 2016, see 2016 Property Assessment - Request for Reconsideration (RfR) Deadlines for details. Visit aboutmyproperty.ca or mpac.ca for more information.

There is no fee for filing a Request for Reconsideration (RfR).

If you did file a RfR with MPAC and you are awaiting the decision, MPAC will send you a letter with the results of their review within 180 days (or less) of when the request was first received. With more complex reviews MPAC may request up to 60 more days to reconsider a property valuation. Notification to the property owner will be given. Once a decision has been made, MPAC will mail a letter advising you about the outcome of their review. If adjustments to your assessed value are made, MPAC will also notify the City and your property taxes will be adjusted accordingly.

If, after MPAC notifies you of its decision, you still disagree with the assessed value, you have 90 days to file an appeal with the Assessment Review Board (ARB) an independent assessment appeal tribunal (Environment and Land Tribunals Ontario) of the Ontario Ministry of the Attorney General. The ARB has its own appeal process. If you filed an appeal with the ARB and are awaiting the outcome of their decision, you can find out more information by calling 1-866-448-2248 or 416-212-6349 or visiting elto.gov.on.ca

ExpandDo I still have to pay my property tax bill if I filed a RfR?

Yes. To avoid penalty and interest charges, taxes on a property must be paid in full as billed. The City must receive notification of a change in assessment from MPAC or the ARB before an adjustment can be made to your tax account. There may be a delay in the time an appeal is filed to when a decision is made.


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