FREDERICTON (GNB) – Service New Brunswick continues to make corrections on property tax assessments and today provided an update on actions as follows:

  • Properties to which an arbitrary formula was applied without the proper quality control measures are being visually re-inspected and revised bills will be issued.
  • There is no deadline for New Brunswickers to report errors in their property assessments.
  • The request-for-review deadline has been extended to Aug. 1.
  • A comprehensive independent review of the property tax assessment system is being carried out by former justice Joseph T. Robertson.
  • Property owners who have their assessments lowered as a result of new bills due to errors will have any overpayment refunded with interest.
  • The government will introduce legislation to create an agency independent of the provincial government to oversee property assessment in the fourth session of the legislature.

To date, about 3,300 errors for the 2017 taxation year have been identified. Service New Brunswick has corrected 1,018 accounts that were affected by errors in property tax bills issued April 1. Property accounts that had an arbitrary formula applied to their assessments are in the process of being reviewed and new bills will be reissued in two mailings in June and July. All other accounts identified as having errors will be reviewed and finalized in July.

While errors are addressed and corrected, New Brunswickers could have their property tax bills decrease, stay the same, or increase.

Since March, 15,105 requests for review of property tax assessments have been filed by property owners. Due to the number of requests, Service New Brunswick anticipates the process to complete the requests for review will extend into late 2017 and early 2018. Property owners who wish to appeal the request for review decision will be able to do so 21 days after receiving their decision from Service New Brunswick.

Real Property Tax Assessment Review

Robertson will undertake an independent review of the facts and circumstances related to inaccuracies and possible errors in Service New Brunswick's calculation of real property tax assessment values for the taxation years 2011 through 2017.

A comprehensive review of all administrative policies and procedures related to the assessment process over the past seven years will be undertaken, including a review of the assessment methodology, factors related to timing and deadlines, and the use of the various technological aids, quality control processes, and the use of formulas to estimate values.

The review will look at all significant changes to the assessment process and procedures over the past seven years, how previous assessment errors were corrected, and how present assessment errors have been or will be addressed.

On or before Aug. 15, Robertson will deliver to the Executive Council Office a written report of his review findings, together with his recommendations as to what measures or policies should be implemented to reduce the probability of any future assessment errors. An extension from the previously publicized report date of Aug. 1 was requested by Robertson to complete his work.

The findings of the review will be used to assist with the design and setup of a new independent real property tax assessment agency. Robertson will co-ordinate the efforts of any experts retained and incorporate their contributions in the report as he deems appropriate.

Robertson is a former justice of the Court of Appeal of New Brunswick, and is currently the jurist-in-residence at the University of New Brunswick.

A copy of his contract is available online.

Property assessment methodology and bill process

In conducting an assessment and processing a request for review, Service New Brunswick relies upon existing property information on file, new information obtained from discussions with the property owner, and, potentially, on-site visits at the property upon request of the property owner. Additional information may be obtained through the use of technology that provides aerial photography of a property and the surrounding neighbourhood.

Property tax bills are due for payment on May 31. If a request for review results in a reduction, a revised statement is issued to the property owner from the Department of Finance, advising of a credit to the account.

Property assessors review more than 467,000 properties in the province each year. Overall, 62 per cent of property owners had no change or a decrease in their 2017 assessment.