TOWN OF CUPAR

Bylaw 4 -2010

A BYLAW TO ESTABLISH PROPERTY TAX INCENTIVES AND PENALTIES

 

The Council of the Town of Cupar in the Province of Saskatchewan enacts as follows:

 

1.                 Due Date

                        Property and other taxes imposed by the Town of Cupar are deemed to be

                        imposed on the first day of January in each year and shall be due on

                        December 31st.

 

 

2.                Residential Tax Incentive Program-Based On Municipal Tax Only

                        a)                 That the residential dwelling owner have a written request to                                                       

                                             the Town of Cupar for all tax incentive programs.

 

                        b)                 That an agreement between the residential dwelling owner and                                     

                                             the Town of Cupar, stated as Exhibit  A , attached and                                                                               

                                             forming part of this bylaw, be signed by both parties in duplicate.

 

                        c)                 That these incentives shall cease immediately upon                                                                                

                                            ownership change of the residential building and property                                                                      

                                            without written permission from the Town of Cupar to transfer                                                                   

                                            to new ownership.

 

                        d)                 Further, that each current and future incentive provided shall                                                            

                                             be limited and subject to any future legislative enactments                                                     

                                             which may restrict the Town's ability to provide them to the                                                               

                                             extent set out in this bylaw.

 

                        e)                 That residential building and development permits issued on

                                             or after July 1, 2010 be provided the following economic

                                             development tax incentives on the residential property so

                                             affected:

                       (i)   Approved new dwelling constructed or dwelling moved in to the Town of Cupar will be

                            exempted from property taxes from date of occupancy to the original land purchaser for:

                                         (a) the first year will be 100% tax exemption

                                         (b) second year will be a 50% tax exemption.

 

3.     Commercial Tax Incentive Program-Based on Municipal Tax Only

                        a)                 That the commercial property owner have a written request to                                                       

                                             the Town of Cupar for all tax incentive programs.

 

                        b)                 That an agreement between the commercial property owner                                                                      

                                             and the Town of Cupar, stated as Exhibit  B , attached and                                                      

                                             forming part of this bylaw, be signed by both parties in duplicate.

 

                        c)                 That these incentives shall cease immediately upon                                                                                

                                             closure of the commercial building or in the case of new                                                                        

                                             ownership change without written permission of the Town of                                                 

                                             Cupar to transfer the incentives to new ownership.

 

                        d)                 Further, that each current and future incentive provided shall                                                            

                                             be limited and subject to any future legislative enactments                                                     

                                             which may restrict the Town's ability to provide them to the                                                               

                                             extent set out in this resolution.

 

                        e)                 That commercial building and development permits issued on or after July 1, 2010 be provided the following

                                             economic development tax incentives on the commercial property so affected:

                                                        (i) Construction of a new building: 100% tax exemption in each year of a two year consecutive period

                                                             to the original benefiting persons or business.

                         (ii)   Extension to existing commercial building: 

                                      (a) 100% tax exemption for the first year on the new construction or extension to the original

                                            benefiting  persons business.

                                            (b) 50% tax exemption for the second year on the new construction or extension to the original

                                                  benefiting persons or business.

                               (iii)  Purchase of an existing business: 

                                (a)    100% tax exemption for the first year

                                (b)    50% for the second year

                               (iv) Lease to purchase of an existing building to start a new business where taxes are transferred to the

                                      lessee through lease agreement:

                                            (a)100% tax exemption for the first year

                                            (b) 50% tax exemption for the second year.

 

4.                 Incentive Program-Prepayments

                        a)                The treasurer may accept payments to be applied on current taxes in advance of the

                                            time of completion of the tax roll for the current year.

 

                        b)                Payments under Section 1 may be accepted in any amount not exceeding the levy in the preceding year.

 

                        c)                Between the months of January and July, discounts shall be allowed with respect to prepayments of the

                                           current year's taxes on property.

 

                        d)                The rate of discount relative to prepayment of taxes shall be a constant 5%.

 

5.                 Incentive Program – Prompt Payment

                        a)                 Discounts shall be allowed from August 1, the time the levy notice is sent on current taxes, other than

                                             local improvement taxes or special taxes to encourage prompt payment.

 

                        b)                 Payment of current taxes received:

                                                (i) from the time the levy is sent until  August 31 shall be eligible for a discount of 5%

                                                (ii) during the month of September shall be eligible for a discount of 4.5% of the amount paid;

                        (iii) during the month of October shall be eligible for a discount of 4% of the amount paid;

                        (iv) during the month of November shall be eligible for a discount of  3% of the amount paid;

 

6.                 Incentive Program – Arrears of Taxes

                        a) A rebate passed by resolution for each parcel assessment, shall be allowed with respect to the

                             payment of tax arrears and penalties.

                                                                       

                        b) Where a person pays less than the total amount of arrears and penalties, the rebate shall be apportioned.

 

7.                 Penalty on Arrears of Taxes

                        a) Taxes which remain unpaid after the 31st day of December of the year in which they are levied shall be

                             subject to a penalty.

 

                        b) The method of calculating the penalty shall be a compound rate of 1% per month, added on the first day of each

                             month applied to the total taxes and penalties that remain unpaid at the end of the month preceding the month

                             in which the penalty is being applied.

 

                        c) The penalty charges are to be added to and shall form part of the tax roll.

 

8.                 New Assessments

                        New assessments of any construction shall be added to the tax roll the year of the assessment.

 

9.                 Repeal Previous Incentive and Penalty Programs

                        Bylaw No.                                    Date Adopted                                                  Subject Matter

                        Bylaw 5-2008                              June 9, 2008                                                  Establish Property Tax

                                                                                                                                                       Incentives and Penalties

 

                        Bylaw 5-2008 is hereby repealed.

 

 10.           Coming Into Force

                        This bylaw shall come into force on July 1, 2010.

 

 

 

EXHIBIT A OF BYLAW 4-2010       

 

AGREEMENT BETWEEN  RESIDENTIAL OWNER AND TOWN OF CUPAR

 

This Agreement made in duplicate this _____ day of ______________, ________

 

BETWEEN:

 

The Town of Cupar, in the Province of Saskatchewan, hereinafter called the "Town"

                                                                                                    OF THE FIRST PARTY
                                                       
-and-

 

__________________________owners of _________________________

in the Town of Cupar civically located at __________________________

                                                                                                             OF THE SECOND PARTY,

 

WHEREAS, The Town of Cupar is empowered to exempt or partially exempt any land or improvement from taxation through the Municipalities Act,

                       Sections 295(1) and 298(5).

 

AND WHEREAS, the New Residential construction on this property encourages and promotes further economic activities and development within

                       the Town of Cupar.

 

NOW THEREFORE, the parties agree that the said property shall be wholly exempted from property taxes in each year of three consecutive years

upon habitation commencing ____________and expiring _______________, subject to the following:

 

a)                  All or any portion of taxes payable are to be deemed current as at January 01 of

                        each year.  It is understood and agreed that where any taxes, levies, charges or fees are imposed on this said property are not deemed

                        current at January 01 in any year of this agreement, the tax exemption shall not apply in subsequent years and this agreement shall

                        therefore no longer have any binding effect upon the Town of Cupar.

b)                 That this Agreement is not transferable nor assignable to any other party without

                        express written permission of the Town of Cupar.

 

 

                                                                                                                                                THE TOWN OF CUPAR

 

                                                                                                                                                ____________________________________

                                                                                                                                                MAYOR

SEAL

                                                                                                                                                ____________________________________

                                                                                                                                                ADMINISTRATOR

 

                                                                                                                                                OWNER(S) NAME(S)

                                                                                                                       

                                                                                                                                                ____________________________________

 

                                                                                                                                                ____________________________________

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EXHIBIT B OF BYLAW 4-2010        

 

AGREEMENT BETWEEN BUSINESS OWNER AND TOWN OF CUPAR

 

This Agreement made in duplicate this _____ day of _____, ______

 

BETWEEN:

 

The TOWN OF CUPAR, in the Province of Saskatchewan, hereinafter called the "Town"

                                                                                                                        OF THE FIRST PARTY

                                                         
-and-

 

___________________________owners of _______________________civically known as ______________________ in the Town of Cupar known as

 

 

_____________________                                                                            OF THE SECOND PARTY,

 

WHEREAS, The Town of Cupar is empowered to exempt or partially exempt any land or improvement from taxation through the Municipalities Act,

                       Sections 295(1) and 298(5).

 

AND WHEREAS, The business established on this property encourages and promotes further economic activities within the Town of Cupar.

 

NOW THEREFORE, the parties agree that the said property shall be partially exempted from taxes by way of a 25% reduction of said property taxes in

                       each year of a consecutive four year period commencing ___________and set to expire __________ under the following terms and conditions:

a)                 Provided taxes payable are deemed current as at January 01 of each year. It is

                        understood and agreed that where taxes, levies, charges or fees are not deemed current at January 01 in any year of this agreement,

                        said exemption shall not apply in subsequent years and this agreement shall then have no further binding effect upon the Town of Cupar.

b)                 That business activity continues during the life of this agreement.  Where current

                        business activity ceases at any time during this period – this agreement shall

                        immediately cease to have any further force or effect between the parties.

 

                                                                                                                        THE TOWN OF CUPAR

 

                                                                                                                        ______________________________________

                                                                                                                        MAYOR

 

                                                                                                                        ______________________________________

                                                                                                                        ADMINISTRATOR

 

SEAL

                                                                                                                        BUSINESS NAME:

                                                                                                                       

                                                                                                                        _______________________________________

 

                                                                                                                        _______________________________________

                                                                                                                        Signing Officer                                                                                                                       

 

                                                                                                                        _______________________________________

                                                                                                                        Signing Officer