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Effective Tax Rate (ETR)

Res #: 7-24M
Number: 7
Year: 2024
Midterm: Yes
Expired: No
Responses Received: No
Departments: Saskatchewan Ministry of Government Relations

WHEREAS the local tax tools limit, in effect for the 2023 property taxation year, sets the ratio between the highest ETR and the lowest ETR of any property class to be no more than 7:1.

WHEREAS each municipality is required to provide quality levels of services to our ratepayers, and some property classes (Commercial: Industrial/Resource) receive higher levels of services to promote industry competitiveness and growth.

WHEREAS the implementation of a 7:1 ratio impacts individual property classes significantly, resulting in an evaluation of service provision to maintain taxation fairness in the interest of protecting Saskatchewan’s plan for growth.

BE IT RESOLVED that SARM lobby the provincial government to remove the effective tax ratio and support each municipality to administer their tax tools that best fit each unique community and the diversity within.

BE IT FURTHER RESOLVED that if the 7:1 effective tax ratio continues, that all rural municipalities are given the same extension time frame for compliance.