2020 Final Installment Property Tax Deferral

Suburbs

To help offer financial flexibility to those significantly impacted by the COVID-19 pandemic, the City will be waiving penalties and interest on property taxes, late payment charges on utility bills and invoices, and non-sufficient fund (NSF) fee charges for the month of June 2020.

In addition, city council has approved additional relief and support for residents and business including a program through which residents can apply for a deferral of the final 2020 property tax bill for 60 days.

The City has already waived penalties and interest for the months of April, May, and June, which has provided immediate relief for all taxpayers. This program is available as an additional measure for those who may still be struggling financially due to COVID-19. It is intended to give residents and businesses extra time to pay their final tax bills, if needed, by extending final due dates by 60 days.

An approved application for the 2020 Final Installment Property Tax Deferral would result in the following changes to tax due dates:

For residential properties:

Original Due Date

Revised Due Date

July 2, 2020

September 1, 2020

September 1, 2020

October 30, 2020

 

For commercial, industrial and multi-residential properties:

Original Due Date

Revised Due Date

September 1, 2020

October 30, 2020

October 1, 2020

November 30, 2020

Qualification

To qualify for this deferral, a property owner must meet the following criteria:

  1. The property owner must have experienced financial hardship directly related to the COVID-19 pandemic due to one of the following:
    • Loss of employment
    • Temporary suspension/reduction of pay
    • Business revenue loss
    • Temporary business closure
  2. All property taxes must have been paid in full up to and including the March 2020 Interim Installment.
  3. The property owner must not have received compensation from Business Interruption Insurance due to the COVID-19 pandemic for the payment of property tax.
  4. The property owner must not have received provincial or federal assistance due to the COVID-19 pandemic, specifically for the payment of property tax.
  5. Eligible property owners must apply for the deferral by July 31, 2020.
  6. Eligible property owners must pay their taxes in full by the revised due dates. Penalties will be charged at the regular rate for each month of deferral, and will only be reversed upon full payment by the revised due dates.
  7. The property will be ineligible if false or inaccurate information is provided in the application.
  8. Property owners with tenants who receive payments from tenants for property taxes must pass on the deferral to their tenants or will be deemed ineligible, the deferral will be deemed revoked, and all taxes, penalty and interest are payable immediately.

For more information, please see our Frequently Asked Questions section below or contact the City of Kitchener Revenue Customer Service at 519-741-2450.

How to apply

The deadline for submitting an application is July 31, 2020. All applications must be submitted by the property owner using the online application form:

After submitting your application, you will receive a confirmation by email that your application has been received. You will be notified by email if your application has been approved or declined.

If you are registered on a pre-authorized payment plan:

If you are applying to this program and currently pay your property taxes through the monthly pre-authorized payment plan, you will be removed from the plan once your application is approved. You will be required to submit a new pre-authorized payment plan application form by Dec. 15, 2020 for the 2021 tax year if you wish to re-enroll.

If you currently pay your property taxes through the due date pre-authorized payment plan, you will remain on the plan and your withdrawal dates will be deferred to the revised due dates once your application is approved.

Please note the application must be received at least five business days prior to the next withdrawal date, or else the pre-authorized withdrawal will proceed.

If your mortgage company pays your taxes:

If your mortgage company pays your property taxes, you are responsible for contacting your financial institution directly to advise them to delay your payments if your application is approved.

Frequently Asked Questions (FAQs)

What is the program?

The City of Kitchener has introduced the 2020 Final Installment Property Tax Deferral program to provide additional relief to residents and businesses that are experiencing financial hardship as a direct result of COVID-19 pandemic. The City has already waived penalties and interest for the months of April, May and June, which has provided immediate relief for all taxpayers. This program is available as an additional measure for those who may still be struggling financially as a result of the pandemic. If needed, the program will provide an extension of due dates by 60 days for the final two installments.

Who is eligible?

The program is available  for all types of property. However, the following criteria must be met:

  • The owner must have experienced financial hardship directly related to the COVID-19 pandemic due to one of the following reasons:
    • Loss of employment
    • Temporary suspension/reduction of pay
    • Business revenue loss
    • Temporary Business closure
  • All property taxes have been paid in full up to and including the March 2020 Interim installment.
  • Property owner must not have received compensation from business interruption insurance due to the COVID-19 pandemic to put towards the payment of property tax.
  • Property owner must not have received provincial or federal assistance due to the COVID-19 pandemic, specifically for the payment of property tax.

I have received the Canada Emergency Response Benefit (CERB) and meet all of the eligibility criteria. Can I still apply?

Yes, property owners who have received the CERB and who meet all of the eligibility criteria may apply.

How do I apply?

The application is submitted via an online form that can be filled out directly through this link:

How long do I have to apply?

The deadline to submit an application for the program is July 31, 2020. All applications must be submitted by the property owner.

How will I know if my application has been accepted?

The applicant will be notified by email if their application has been approved or declined.

I’ve applied to the program, why am I still seeing penalties on my account?

Penalties will be applied during the months of deferral in accordance with the terms on the final tax bill until the taxes are paid in full before the revised due dates. When this occurs,  the penalties will be reversed from the account. If full payment is not received by the revised due date(s), then the deferral is deemed revoked for all remaining installments and all taxes and penalties will be payable immediately.

What happens if I miss paying the installment by the 60 day extension?

If full payment is not received by the revised due date, then the deferral is deemed revoked for all remaining unpaid installments and all taxes and penalties will be payable immediately.

What if my taxes are paid by a mortgage company?

Applications must be submitted by the property owner. If an application is accepted, the property owner must separately make arrangements with their mortgage provider to defer their payments.

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