Middleton tables tax exemption policy review

By Heather Killen

Spectator

NovaNewsNow.com

The Town of Middleton has tabled a policy review regarding tax exemptions for low-income property owners.

The current policy provides that property owners with a maximum income of $12,500 are eligible to receive a $300 break on their property taxes.

Residents with incomes ranging from $12,501 to $15,000 are eligible for a $200 exemption on their taxes.

Jemma Lambert, town CAO, reported during the last meeting of the Committee of the Whole that the current policy is well below the exemption levels set in other Nova Scotian towns.

Other towns offer an average exemption of about $165 to property owners with incomes up to $17,164.

“Our income ceiling is substantially lower than the average, but the exemption we provide is larger,” she said. “So we provide a higher exemption to fewer people.”

To date only two or three Middleton residents have received the exemption. She added that either most people are unaware of the policy, or the levels are set too low for most people to benefit.

Lambert suggested that since a new sewer rate is likely to be introduced to raise taxes, it’s timely for the town to review its current policy and amend it to reflect the average.

“It’s a nice thing to offer people who will likely find it hard to offset the new costs,” she said. “So it may be well-timed to raise the level of income to reflect the average and bring the exemptions in line.”

It was noted that the suggestion to review the town’s low- income exemption policy was made in council last year, but that it had yet to be followed up.

Councillor Marc Britney questioned whether certain types of incomes such as pensions are included in the town’s calculation to determine eligibility for the exemption.

He suggested that some types of pensions may not be considered taxable income, but there may be easy guidelines for determining a resident’s eligibility for the exemption.

After some discussion, council moved to table the recommendation for policy change until further research can clarify what guidelines can be used to determine eligibility for the exemption.