Five properties remain on course for tax sales in January
At June 30, 2014, New Tecumseth counted 100 properties with overdue
taxes totalling $2,215,813, up from the same time last year when 89
properties showed an outstanding balance of $1,556,245.
There were 13 properties that were deemed to be in long term deliquency
(in excess of three years) and turned over to RealTax Inc. Seven of
those have since either cleared their accounts, or entered into payment
arrangements with the Town. However, of the six remaining (four
residential, one industrial, and one commercial), five will move to tax
sale status in January 2015 unless paid in full, or an extension
granted, as was the case with the other property.
According to an update of tax arrears status, 89 of the 100 properties
were residential owing approximately $1.5 million. Of the six
commercial, $501,504; three residential/commercial mix, $127,399; one
farm, $22,774; one industrial, $73,047.
"Finance staff continue aggressive collection efforts through a
combination of regular letters,
registered letters, phone calls, emails and personal appointments.
Finance staff will be
preparing and mailing 55 registered notices to the accounts that are
deemed to be the highest
priority. Pending the response from these notices, final notices will
be mailed by registered letter in the fall," according to the report to
council Monday night. "Finance staff will be moving a certain number of
accounts to Realtax in order to proceed with registering a tax arrears
certificate against various properties. At the current time, Finance
staff would estimate that approximately 30 accounts will be turned
over. It is the objective of the Finance Department to work with our
taxpayers to avoid any loss of property."
New Tecumseth hasn't seized a property for tax sale since 2000, when 12
were put up for public auction.
In April 2012, council dictated that a more aggressive effort to
collect overdue taxes along with twice a year updates be provided
because outstanding balances produce a drag on revenue raised to fund
the annual budgets. At June 30, $6.33 million, including interest, was outstanding.