Calgary Industrial and Residential Tax Assessments

Many of you have already received your Calgary Industrial and Residential tax assessments. I have had a few phone calls and emails on the subject.  Some people noticed an increase and others a decrease in their tax assessments.  I have completed quite a few market evaluations in the past month since the assessments were mailed.

An increase in assessment does not automatically mean an equivalent percentage increase in taxes. When an assessment on a residential home goes up more than the City average the owner in most cases will end up with a bigger tax increase.

It is worth your while to get a market evaluation for this purpose as the deadline to appeal your tax assessment is March 7th, 2011.

How does the City determine value?

The City of Calgary uses a few methods of how they calculate their property assessments:

Sales comparison approach – sales of similar properties.

Income approach – capitalize the income being generated by the property.

Cost approach – land value plus the depreciated replacement cost of the property.

Residential Property Assessment
When we prepare residential assessments, we typically look at all similar properties within a similar area that are sold during the same timeframe. When properties are sold, there is a range of sale prices. Assessed values are based on these prices. This is called the sales comparison approach to valuation.
Multi-Residential Property Assessment
For multi-residential property assessments we use the income approach to valuation – capitalize the income being generated by the property.

Non-residential Property Assessment
In determining non-residential assessments, the City uses one of the three approaches to value stated above.

Research what your own tax assessment is by going to:  https://assessmentsearch.calgary.ca/TermsOfUse.aspx