Once you receive you property Tax notice, you may be able to apply for a low interest loan to pay your current year property taxes on your principal residence. There are two programs you may qualify for:
You may qualify for this program if you’re:
- 55 or older during the current year, or
- A surviving spouse of any age, or
- A person with disabilities
You may qualify for this program if you’re a parent, stepparent or financially supporting a child.
You can apply to defer a portion or all your residential (Class 1) or residential and farm (Class 1 and Class 9) property taxes after the Home owner grant is deducted. If you qualify for the Home owner grant, you must apply for it separately every year.
If your application is approved, the Province pays you current year unpaid property taxes on your behalf.
Sometime it can take the Province several months to process the Tax Deferment applications due to the need to gather necessary information. You may not get a response from the Province about your application until after the Property tax due date. If you application is received before the Property tax due date but is approved after the due date, you will not be charged a late penalty.
You will be charged a late payment penalty if:
- You apply after the Property tax due date
- Your application is not approved and it is past the Property tax due date
- You fail to provide the required information
- You sell your home before the taxes are paid on your behalf
- You cancel or withdraw you application for any reason at any time before the taxes are paid on you behalf
You can make a payment or repay the loan at any time without any penalty.
While you carry a Property tax deferment balance, you will have a restrictive lien registered against your property. Once the lien is registered, you can only change your property title to add your spouse. You must repay the outstanding balance of your agreement before you:
- Sell your property
- Change property owners other than adding your spouse
- Refinance with some financial institutions (Please check with your financial institution)
Other title changes may require repayment, please contact the Province for further information.
Toll Free 1-888-355-2700
Interest is calculated every month starting from the date your property taxes are due or the date you applied to defer, whichever is later. You will be charged simple interest on the taxes you have deferred. You will not be charged interest on interest or application or renewal fees.
Interest rates are set every six months. The interest rate until September 30, 2017 are as follows:
Regular Program 0.70%
Families with Children Program 2.70%
Repay your Deferment Loan
Learn how you or your legal professional can repay all or part of your deferred property taxes.