The total property taxes collected in Saskatchewan in 2010-11 was estimated to be $1.6 billion.
This represents 2.83 per cent of provincial GDP - higher than either the provincial sales tax or the various corporate taxes combined.
The overreliance on property tax is undermining Saskatchewan's competitive position, and it is time for reform.
The province has made progress on property taxes over the last few years, and I applaud its efforts. However, the recent recommendations found in the Canada West Foundation's tax framework warrant implementation.
The higher rate of property tax levied on non-residential properties can be 3.5 times that of residential properties in some areas of the province. A calculation for 2010 shows that the gap is 1.75 times in Saskatoon and 1.95 times in Regina.
Capping this differential at 1.43 times for both the education and municipal portion of property tax, as the framework recommends, would enhance the competitiveness and attractiveness of Saskatchewan's cities. It would also bring an improved level of fairness to the property tax system.
The complexity of property taxation in Saskatchewan, particularly as it relates to non-residential classifications, is characterized by a lack of transparency, accountability, public acceptance and legitimacy.
Let's start addressing these issues today.
A Tax Framework for Saskatchewan's Continuing Prosperity provides a clear, tangible place to start. You can read it here: A Change Today for Your Tomorrow
Don't forget to ask your candidates if they have a plan to help reduce the property tax burden. It is an issue that needs to be addressed.
This represents 2.83 per cent of provincial GDP - higher than either the provincial sales tax or the various corporate taxes combined.
The overreliance on property tax is undermining Saskatchewan's competitive position, and it is time for reform.
The province has made progress on property taxes over the last few years, and I applaud its efforts. However, the recent recommendations found in the Canada West Foundation's tax framework warrant implementation.
The higher rate of property tax levied on non-residential properties can be 3.5 times that of residential properties in some areas of the province. A calculation for 2010 shows that the gap is 1.75 times in Saskatoon and 1.95 times in Regina.
Capping this differential at 1.43 times for both the education and municipal portion of property tax, as the framework recommends, would enhance the competitiveness and attractiveness of Saskatchewan's cities. It would also bring an improved level of fairness to the property tax system.
The complexity of property taxation in Saskatchewan, particularly as it relates to non-residential classifications, is characterized by a lack of transparency, accountability, public acceptance and legitimacy.
Let's start addressing these issues today.
A Tax Framework for Saskatchewan's Continuing Prosperity provides a clear, tangible place to start. You can read it here: A Change Today for Your Tomorrow
Don't forget to ask your candidates if they have a plan to help reduce the property tax burden. It is an issue that needs to be addressed.
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