SIDNEY – Commercial properties in the Town of Sidney will be shouldering less of the community’s tax burden as a result of a new and unique approach to taxation approved by Sidney’s Council on April 11th.
The Town has adopted a new approach to help keep the proportion of taxes collected from businesses closer to a 2:1 ratio. For example, if business and light industrial properties constitute 10% of Sidney’s tax base (property assessments), the Town would collect 20 per cent of its taxes from those properties. Currently this latter percentage is closer to 25 per cent in Sidney, representing a ratio of 2.29:1.
“The quality of life community members enjoy in Sidney is closely tied to the Town’s thriving local economy. By supporting local businesses through initiatives such as the new tax policy, we are also supporting residents who benefit directly when they can shop, access services, and find employment close to home,” said Sidney Mayor Cliff McNeil-Smith.
The new tax ratio will be phased in over 10 years, with the residential sector gradually absorbing the reduction of taxes from the commercial sector. The annual impact will be about $30 per year for the average residential property during this 10-year phase-in period.
Supporting local businesses has long been a priority for the Town, which serves as a commercial hub for the Saanich Peninsula. In 2021, Sidney had the second lowest commercial tax rate of municipalities in the Capital Regional District. The new taxation approach will further efforts to make Sidney an attractive place to do business.
