Assessment and taxation are two separate processes –
- Assessment is the valuation of your property using Provincial government regulations and guidelines. It is the basis for a municipality to levy a property tax.
- Taxes are the amount of money a municipality collects from each assessed person in order to pay expenditures and requisitions as established in the annual budget. Taxation is your assessment multiplied by the mill rate as set by the municipality.
Under Alberta’s Municipal Government Act, municipalities are responsible for collecting taxes for municipal and educational purposes. Property taxes are levied based on the value of the property as determined from the property assessment process.
Property taxes are not a fee for service, but a way of distributing the cost for local government services and programs fairly throughout a municipality.