Holden Council changes tax penalty bylaw to ease into penalties

Holden Village Council has changed their tax payment and penalties bylaw to introduce penalties gradually, instead of an 18 per cent charge being added shortly following the payment deadline.
Council chose to review the bylaw after a resident wrote a letter suggesting council do so, as a result of him suffering the 18 per cent penalty because he forgot to pay his taxes on time.

“A fee for less than one week (late) at 18 per cent should not be applied,” the resident said, and included a comparison of the Town of Tofield’s penalty bylaw, as well as Beaver County’s and the Town of Westlock’s.

The resident did not request his fee be waived, but that council reconsider the penalties for non-payment of property taxes.

“In this situation,” Chief Administrative Officer Rosemary Offrey said, “this gentleman came in and he talked about the penalties, but he never did ask about getting a reversal or anything like that. He just talked about the bylaw itself,” she said.

At the regular meeting on September 16, Mayor Tyler Beckett agreed with the resident that the bylaw should be reviewed.

“I would like to look at maybe more of a graduated penalty system, similar to what Tofield’s got. We can keep our dates, but why don’t we look at giving the nudge, then use the hammer, instead of the 18 per cent right away,” he said.

The revised bylaw was passed at the last council meeting on October 21 that, effective January 2025, a five per cent penalty will be added on all current taxes remaining unpaid 70 days after the date of mailing the tax notice, which is mailed in June every year. The next charge will occur 100 days after the tax notice has been mailed, at 12 per cent. An 18 per cent charge will be added as a penalty on any, current and arrears, taxes remaining unpaid on December 31.

“it’s a little bit less of a blow to people, a nudge rather than a slapping with a stick. Just kind of a friendly reminder first,” Beckett said.

Kari Janzen
Staff Reporter

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