Halifax proposes commercial tax reform

RCC has been raising its concerns with Halifax Regional Municipality (HRM) Council regarding a proposal for commercial tax reform that will come before Council this fall. Although the proposed commercial tax reform would provide some benefit to certain RCC members, RCC cannot support a municipal taxation approach that would specifically target large mass merchant retail businesses in certain parts of the municipality.

The proposal would see the creation of tax zones with multiple taxation tiers within each zone. There would be a specific tax zone entitled ‘Big Box’ which, would create a much higher tax rate for large, mass merchant retailers in the ‘Big Box’ zones. Taxing geographical areas at higher rates is not fair and equitable taxation and could discourage development in the higher taxed areas.

This proposed approach would provide a distinct advantage to the large, mass merchant retailers doing business outside of the ‘Big Box’ zone. RCC has detailed its concerns in correspondence to Council and presented these concerns during an appearance before HRM Council’s Executive Standing Committee.