Review of Property Assessment in NB - FAQ

The provincial government committed to overhauling the property tax system to ensure predictability, fairness, transparency and stability. To learn more, click here.

Property assessment is part of the centralized system in New Brunswick and was reviewed as part of this mandate. There have also been ongoing concerns expressed about the methodology and effectiveness of property assessment in New Brunswick.

The International Property Tax Institute (IPTI) was engaged to perform an independent, third-party review. The results of the review, including recommendations, were provided in September 2025. The report in its entirety can be found here.

The International Property Tax Institute (IPTI) is a not-for-profit organization comprised of experts from around the world who support stakeholders in developing and maintaining effective and efficient property tax systems.

IPTI is widely recognized as the world’s leading organization on property tax policy and practice, whose mission “is to provide impartial, objective expert advice and training in the area of property tax systems and promote the concept that these systems should be fair and equitable and meet the needs of all stakeholders, i.e. governments, taxpayers, practitioners, and academics.”

Further information can be found online.

IPTI evaluated three main areas:

1. Methodology: The basis for assessing properties (e.g. market value, mass appraisal, annual cycle);
2. Legislation: Laws and regulations governing property assessments;
3. Effectiveness: Design of current practices.

IPTI’s approach included jurisdictional scans, a review of standards and reports, and consultation with stakeholder groups including taxpayers, tax agents, various associations, local governments and provincial government officials.

This was not an audit of Service New Brunswick’s (SNB) Property Assessment Services.

IPTI found the current assessment methodology utilized by SNB Property Assessment Services is in line with internationally recognized, professional best practices.

They found assessment policy, practice and procedures comply with IPTI’s guiding principles for a good property assessment system, including:

• Assessed values based on market value
• Annual revaluations
• Clear property assessment notices
• An informative website
• A responsive request for review service, and
• An effective formal appeal process

The main issue IPTI found was that the current property assessment system in New Brunswick is too closely associated with the wider property tax system. This leads to confusion and misunderstanding, causing problems of accountability and responsibility.

IPTI identified the problem with the existing property tax system is not the assessment process, but the taxation process. There should be a clearer separation between assessment policy and practice and taxation policy and practice.

Although IPTI concluded that property assessment in New Brunswick is effective, they identified areas for improvement. The report included:

• 39 Recommendations: These focus on organizational structure, communications and stakeholder engagement, and other operational enhancements.
• 18 Endorsements: These are activities already underway which should continue; 12 pertain to the new Computer Assisted Mass Appraisal System.
• 11 Suggestions: These were related to tax policy and practice matters outside the scope of the review. These observations were considered as part of the Solutioning phase of the property tax system overhaul.

The core of the property assessment system remains reliable, but these changes aim to refine operations and better differentiate tax policy from assessment.

Twenty-six of the 39 recommendations outlined in the report have been prioritized based on the objectives of the overhaul and SNB.

As of May 2026:

• 3 recommendations are complete or near completion;
• 5 recommendations are in progress;
• The remaining 18 recommendations (including multi-year projects) are planned to conclude between 2028 and 2029.

The government will periodically review the remaining recommendations and update priorities based on emerging needs.

Currently, New Brunswick has a centralized assessment and collection system for real property taxation (Provincial, local governments and rural districts). Service New Brunswick is responsible for annually assessing the value of all real property within the province for tax purposes. Finance and Treasury Board is responsible for the billing and collection of all real property taxes levied, including those levied by local governments.

IPTI recommended Property Assessment Services be established as an independent assessment body as seen in other jurisdictions in Canada. While this idea was considered, government’s first priority is addressing recommendations that improve the separation of tax and assessment responsibilities before making decisions regarding an independent assessment body.

This recommendation relates to who is responsible for administering and managing property tax relief programs and has been prioritized. The transition of responsibility does not change how property tax relief programs impact the public.

Property owners are concerned with increases in their property tax bills. This recommendation will be considered as part of the broader property tax reform. Proposed legislative amendments are the next steps toward making the property tax system more predictable, stable and transparent beginning in the 2027 tax year.  Please refer to Consultation: Property taxes - gnb.ca for further information.

The recommendations aim to make property assessment fairer, more transparent, and easier for property owners to understand. Over time, this should help property owners feel more confident about property assessment in New Brunswick.