General Committee discussed the 2021 Property Tax Deferral program as the COVID-19 pandemic continues. The application-based program will allow eligible residential and business property owners to apply to defer their property tax payments in 2021. As of January 1, 2021, all regular property tax billings, collections, application fees and charges have resumed to the normal schedule, including late payment charges. If eligible resident or business property owners need more time to pay their property taxes, they can apply to the deferral program to have their payments deferred to December 15, 2021.
To be eligible for the 2021 Property Tax Deferral program, property owners will need to provide a COVID-related reason for their financial hardship such as extreme revenue loss, loss of employment, business closure, prolonged suspension of pay, insolvency and/or bankruptcy. Additionally, eligible property owners cannot have any tax arrears (property tax debt) prior to March 2020.
“As a municipal government, we are doing what we can to provide financial assistance to ease the burden on families and business owners who are facing financial challenges under the current circumstances,” said Mayor Bonnie Crombie. “We are doing the best we can to support our property owners by deferring taxes for those who need it most.”
As in 2020, Council has agreed to move forward in offering tax deferrals for Mississauga residents and businesses who continue to experience financial difficulties.
“In 2020, we learned that most tax payers continued to pay on time, however some had difficulties. We are uncertain about how long the pandemic will continue to affect the community in 2021. As many face struggles like job loss, business closures and bankruptcy, this new deferral program provides eligible property owners with more flexibility and convenience,” said Paul Mitcham, City Manager and Chief Administrative Officer. “With the December 15 deadline in place, eligible property owners can decide when and how to make their tax payments throughout the year.”
“For those who are eligible for the program, the total taxes billed for 2021 would need to be paid by the due date. Applicants will still be able to make periodic payments throughout the year against the balance of taxes owing depending on their own financial situation,” said Gary Kent, Chief Financial Officer and Commissioner, Corporate Services. “It’s the responsibility of the property owner to ensure their 2021 property taxes are paid by December 15.”
If property owners owe taxes from 2020 or previous years, late payment fees will be charged until paid in full. Late payment charges on deferred 2021 taxes would not be applied until after December 15, 2021.
The 2021 Property Tax Deferral program will go to Council on January 20 for approval. Following Council approval, applications can be submitted online beginning in February until March 31, 2021.
More information about the 2021 Property Tax Deferral program.