How is property tax calculated in Canada?
Property tax equals your home's assessed value multiplied by the total municipal tax rate. The rate combines municipal operating levies, an education levy, and sometimes regional/transit levies. In Ontario the assessed value is set by MPAC; other provinces use their own provincial assessment authorities.
What is a typical property tax rate in Canada?
Residential rates vary widely by city. Toronto and Vancouver have low rates (around 0.6-0.7%) because high property values fund the budget, while many other Ontario and Prairie municipalities charge 1.0-1.6%. Always use your specific municipality's current rate for an accurate figure.
Is assessed value the same as market value?
Not necessarily. Assessed value is set by a provincial assessment authority (e.g., MPAC in Ontario) as of a specific valuation date and may lag behind current market value. Property tax is based on the assessed value, not the price you paid, so a recent sale does not immediately change your tax.
Can I appeal my property assessment?
Yes. If you believe your assessed value is too high compared to similar properties, you can file a request for reconsideration or an appeal with your provincial assessment body within the deadline. A successful appeal lowers your assessed value and therefore your annual property tax.