Paying My Property Taxes

T.I.P. is an automatic bank withdrawal payment plan by which taxpayers may make consecutive monthly payments for property taxes rather than a single annual payment.

Many people find it difficult to make a single large tax payment that is due once a year. Automatic bank withdrawals would break this large payment into monthly installments making budgeting for expenses easier.

You can join T.I.P. if ...

• your tax account is paid in full at the time of application;
• you have chequing privileges at a financial institution (bank, trust company or credit union); savings accounts cannot be used for this program;
• you do not presently pay your taxes through a mortgage company (P.I.T.)
• your application is received prior to June 15th

Your monthly payment amount is calculated by dividing your most recent annual tax levy into 12 installment payments, or, if you have already made a payment this year, the amount of your most recent annual tax levy is reduced by the amount you already paid and divided by the number of months remaining in the calendar year.

On the annual tax bill, you will be notified of i) the total amount of installments paid to date, ii) the actual taxes payable for the current year, and iii) the revised monthly payment which will begin June 15.

Payments are made by automatic withdrawal from an account with chequing privileges at a financial institution. The withdrawals take place on the fifteenth day of the month. You must give written permission before the withdrawals begin. This authorization is required only once. The deductions will continue until canceled by either yourself or the City. The City of Brandon does not charge for this service; however, normal bank service charges may apply.

Neither prepayment discounts nor late payment penalties apply to payments made while using this plan.

Installment payments must be made on the 15th day of the month.

Example:

Preceding year's tax bill $3,000

Monthly payment required $100
January through May *
($3000/12)

Current year's taxes ----- $3,250
Less:
Jan to May payments  --- $1250

Balance owing at June 15 - $2000

Monthly payment required
June through December
($2000/7) ---------------------$285.71

Rounded to the nearest dollar: $286.00

You may withdraw from the plan by giving written notice at least two weeks before the next payment date.

If three payments within a calendar year are not honoured by your Financial Institution, the City of Brandon will cancel the agreement and request payment of the total outstanding taxes. Please note returned payments are subject to a $20.00 NSF fee.

Note: If you withdraw or your plan is canceled, all unpaid taxes become payable on the original due date, and are subject to penalties in accordance with the penalty by-law.

If you change your chequing account please advise the Finance Department by providing a new VOID cheque, at least two weeks before the next payment is due.

Click on the following link to submit this change online: http://onlineservices.brandon.ca/updateinfo.aspx

When your property is sold T.I.P. participants are required to inform the Finance department, in writing at least two weeks in advance of the next payment.

If you sell your property, your solicitor will be advised of the most recent tax levy and the total T.I.P. payments made to date on the tax certificate that is usually requested when a property is sold. Your solicitor should take these facts into consideration when making the final adjustment to the transfer of funds between you and the purchaser.

Tax/Water Account Change Form

Supplementary tax bills must be paid in full by the due date, and the T.I.P. installment amount will not be increased until the following January.

If you have any questions about the TIP application form, please call the Property Tax Department at (204) 729-2228.

The personal information is being collected under the authority of By-Law no. 6416/62/96 and will be used for the purpose of implementing the Tax Installment Plan of the City of Brandon.

It is protected by the protection of Privacy provisions of The Freedom of Information and Protection of Privacy Act.

If you have any questions about the collection of the information, contact Ian Richards, Access and Privacy Officer at the above physical address, or call (204) 729-2269.