A Vaughan Chamber Government Relations Committee member attended the June 22nd Vacant Unit Property Tax Rebate (VUPTR) Consultation Meeting at Vaughan City Hall. Get the low down on VUPTR:
Background of VUPTR:
- Introduced in 2001, the VUPTR provides property tax relief to owners of vacant commercial and industrial buildings.
- Click here to view application form.
- To be eligible, the property or a portion of the property (measured by square footage) must be vacant for a period of at least 90 consecutive days.
- Vacant commercial space rebate percentage is 30%
- Vacant industrial space rebate percentage is 35%.
- On November 14, 2016 the Province of Ontario released its Fall Economic Statement which provided municipalities with a broader flexibility to tailor the VUPTR Program to reflect community needs.
- The City of Vaughan is currently evaluating the Vacant Unit Rebate Program and collecting feedback from local commercial, industrial and residential property owners.
- a public consultation was held on June 22nd at Vaughan’s City Hall to collect feedback from the business community.
- An online survey was setup to continue to collect feedback between June 1st and July 31st 2017.
- To view the staff report to council click here.
- Between 2011 and 2015, the total Program cost was $2,097,000 which does not include the administrative costs associated with the Program.
- This business benefit is largely subsidized by residential property owners.
The Future of the VUPTR Program:
- The City of Vaughan is considering five options:
- Status quo – no change to the program.
- Phase-out (1-3 years) – program would be phased-out over three years while the rebate percentages for both commercial and industrial properties would decrease each year.
- Targeted program – “New office Development” (3-5 years) – maintain the program for new office developments only, allowing property owners of properties under development to recoup property taxes paid on units which are not ready for rent.
- Class funded program – all costs of the program, as well as rebated will be borne by the commercial and industrial classes alone, as opposed to residential property tax owners.
- Elimination – program would be eliminated for the 2018 application year and beyond.
- If you are an industrial or commercial property owner in the City of Vaughan, this is your opportunity to provide feedback to the government regarding the future of the VUPTR.
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