Town and county approve tax deferments
By Sean Feagan, Local Journalism Initiative Reporter
There is a bit more time this year to pay property taxes in Strathmore and Wheatland County.
Tax deferment bylaws were passed by the councils of Wheatland County and the Town of Strathmore on May 5 and 6, respectively.
In Strathmore, the decision to develop a plan for tax deferments was made early, said Geoff Person, Town of Strathmore communications strategist, in a statement.
“In the same week as the Town of Strathmore declared a state of local emergency, council directed administration to identify policy options that would provide financial relief to residents and businesses in Strathmore,” said Person. “The deferment policy was not a provincial directive, but one directed by our own council to support the community.”
The deferments are intended to help people experiencing any type of financial disruption caused by the COVID-19 situation, said Person.
“Many households are facing significant reductions in income from the loss of a job or a reduction in working hours,” he said. “These deferments will help households and business owners to prioritize the expenses that are essential for them.”
Formerly, town taxes were due on June 30, and a five per cent penalty fee for unpaid taxes was applied on July 1. However, the town’s new bylaw extends the penalty due date to Oct. 31, with the penalty being incurred on Nov. 1. An additional five per cent penalty was established for Jan. 1, 2021. The bylaw will be reevaluated early next year, after it expires on Jan. 15, 2021.
Meanwhile, property taxes for Wheatland County ratepayers have been deferred for two months and are now due on Aug. 31. The bylaw also establishes the penalty dates of Sept. 1 and Dec. 1 when ratepayers are charged a five per cent fee on unpaid taxes.
These new rules could help ratepayers, said Wheatland County Reeve Amber Link. “Tax deferrals allow county ratepayers increased flexibility to pay their tax bills on their terms, on or before the due date,” said Link.
The report to council stated the move could affect county cash flow, but Link said that through some financial maneuvering, the county will adjust.
“Administration will draw down some of our short-term investments to ensure cash flow is adequate during the two-month extension,” said Link. “Wheatland County’s past financial planning has ensured during emergency situations or other events we would be able to continue to operate with extended payment deadlines.”