Golf Course Taxation
Res #: 7-09A
Responses Received: No
Departments: Matters Pertaining to SARM
WHEREAS private golf courses, basically not for profit, are unfairly taxed compared to regional golf courses; and
WHEREAS there is no provision in the taxing regulations to separate these from the commercial class;
BE IT RESOLVED that we request that sub-section (i) be added to Section 40 of The Municipal Regulations, which deals with the percentage of value, and call sub-section (i) “recreation” and set a percentage of value of 20%, hence breaking recreation out of the commercial class and therefore no longer taxed at 100%.
Response from Honourable Bill Hutchinson, Minister of Municipal Affairs:
Changes in percentages of value shift property tax from one property class to others. They do not reduce the total property tax levied. If the resolution is implemented, increases would result for the agricultural, residential and commercial/industrial property classes. The rationale is unclear for why owners of these classes of property should pay more property tax so owners of commercial recreation properties pay less.
The province recognized the education property tax burden faced by all property owners, which is why the budget included the largest education property tax cut in Saskatchewan's history. We are reducing education property tax by $103 million this year (about 14 %), and intend to reduce education property tax a further $53 million next year.
Municipalities have further options. The Municipalities Act authorizes a municipal council to:
• Exempt or partially exempt property from taxation in a given financial year.
• Enter into an agreement with a property owner to exempt or partially exempt
property from taxation for up to five years.