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THUNDER BAY — City council has decided that the interim property tax levy for 2025 will be set at 50 per cent of the 2024 property tax obligation, to be ratified upon approval of the 2025 budget.
The interim tax levy will be collected in two installments, due March 5 and May 7 of 2025.
According city administration, the main advantage of setting an interim tax levy is to reduce the cost of current borrowing and provide an added level of convenience to taxpayers so they may budget for each payment.
Administration said in 2024, there were approximately 43,100 taxable properties, which generated nearly $260 million in municipal and education taxes.
The interim levy will raise approximately $130 million over.
The penalty for the non-payment of property taxes is 1.25 per cent of the unpaid amount. These penalties are expected to generate approximately $325,000 in revenue and will be considered in the 2025 Budget.
The interest on property taxes is also set at 1.25 per cent is expected to generate a revenue of nearly $2.8 million.
The issue is consistent with past years and elicited very little discussion before passing unanimously, with only one question from council.
"The interest that we charge for unpaid taxes of 1.25 per cent," asked Coun. Rajni Agarwall "is that monthly, semi-annually or annually?"
Commissioner of corporate services Keri Greaves, explained that the interest is applied on the overdue balance on the first of each month following a missed payment.
