City of Abbotsford taxpayers may pre-pay their annual property taxes automatically, either through a monthly pre-authorized withdrawal from their bank account; or lump sum payments which are credited to the property tax account. The tax pre-payment plan is available for all types of property; however, to qualify, the tax account must be current with no outstanding taxes against the property.
To apply
Please see 2012 Tax Pre-Payment Plan Brochure to complete an application to be returned, together with a blank cheque marked "VOID", to the City of Abbotsford Property Tax Division, 32315 South Fraser Way, Abbotsford, B.C., V2T 1W7.
Monthly Payment
The monthly payment will be calculated by estimating the taxes (less Home Owner Grant, if applicable) and dividing the amount by the number of participating months between August 15th and May 15th, or by an amount no less than $10.00, as stipulated by the taxpayer. Any balance remaining against the taxes levied for the subject year, after application of the total payments made, is due on the tax due date. Any balance remaining unpaid after the tax due date is subject to the penalty provisions of the City's current Tax Penalty Bylaw .
Lump Sum Prepayment
A lump sum prepayment, not exceeding the estimated net taxes for the following tax year, will be accepted and credited to the property tax account.
Home Owner Grant
If eligible, you must claim the Home Owner Grant annually by the tax due date, either on-line or by completing the detachable stub of your tax notice and returning it prior to the tax due date to avoid penalty charges. Prepaying taxes does not eliminate the need to complete an annual Home Owner Grant application.
Interest
Interest will be applied monthly from August 15th each year to May 15th of the year taxes are due, at a rate prescribed by the Lieutenant Governor in Council. Interest earned on the prepayment plan is non-refundable, but will be applied to the tax account as a credit against future taxes.
Convenience
This convenient payment plan eliminates the need to pay the total amount of taxes at one time. Your financial institution will debit your account and remit the monthly payment for you. If you currently pay taxes with your mortgage, advise your mortgage company or financial institution of any requested change.
Term and Conditions
- To participate in the plan, all current taxes must be paid in full with no outstanding taxes or unclaimed Home Owner Grants. This plan is for next year's property taxes, which you are pre-paying.
- If eligible, the Home Owner Grant must be claimed every year before the tax due date to avoid the penalty charge.
- If the estimate of the monthly payments results in an underpayment of taxes, the remaining balance must be paid by the tax due date to avoid the penalty charge. Any overpayment will be automatically applied to reduce the next year's installment amount.
- A completed tax pre-payment plan application, together with a blank personal cheque marked "VOID", must be delivered or mailed to the City of Abbotsford, Property Tax Division.
- Personal information gathered in relation to enrolment in the monthly tax pre-payment plan will be disclosed to the financial institution that holds the account of the City of Abbotsford to be credited with the monthly tax pre-payment, to the extent that such disclosure is directly related to, and necessary for, the proper application of Rule H1 of the rules of the Canadian Payments Association.
- Any claim regarding a disputed monthly tax pre-payment made more than 10 days after which the payment was posted to the applicant’s tax account must be resolved solely between the applicant and the City of Abbotsford. There is no entitlement for reimbursement from the processing financial institution.
- Monthly payments will be calculated by estimating the taxes (less Home Owner Grant, if applicable) and dividing the amount by ten months. Monthly payments, commencing August 15, will be credited to next year's taxes. If your circumstances change, you will need to contact the Property Tax Division immediately to have your monthly amount adjusted.
- Taxpayers may terminate participation in the plan at any time upon written notice to the Collector, Property Tax Division. One week's notice is required prior to the 15th day of the month.
- If the property is sold, it is the owner's responsibility to inform the Collector in writing. A copy of the Vendor's Statement of Adjustments must also be provided. One week's notice is required prior
to the 15th day of the month in which the property was sold in order that participation in the plan may be discontinued, or arrangements made to transfer a credit to a newly-acquired property.
- Notification of any change in banking information must be received one week prior to the 15th of the month.
- Interest accrues daily from the date of pre-payment, and is applied as a discount against the tax account. Rates are prescribed each year by the Lieutenant Governor in Council.
- Interest will be reversed on dishonored payments, and a $25 fee will be debited to the pre-authorized withdrawal account.
- Participation in the plan will automatically cease if any two payments (do not have to be consecutive) fail to be honoured by the applicant's bank within the 10-month withdrawal period (August to May).