Nelson Council decides which non-profits and churches will be exempt from property tax
At its October 7 meeting, Nelson Council considered a list of non-profit organizations in Nelson that may be exempted from property taxes for the next three years. Half of those organizations are churches, but church exemptions only amount to 10% of the total of about $40,000.
The bylaw has passed first and second reading and will come up again at a future meeting.
The following list shows the proposed exempted organizations and the amounts of their exemptions for the 2013 tax year.
Ascension Lutheran Church– $535
Cathedral of Mary Immaculate– $148
Church of Jesus Christ of Latter Day Saints–$854
Eleos Centre Ministries– $139
Evangelical Covenant Church– $126
St John’s Lutheran Church–$470
First Baptist Church–$318
Kootenay Christian Fellowship $220
Nelson Congregation of Jehovah’s Witnesses– $506
Nelson United Church– $161
Pentecostal Assemblies of Canada (Bethel Christian Centre)–$994
St. Saviors Anglican Pro-Cathedral– $233
Salvation Army– $4344
Kootenay Kids Society – Silica St.– $3576
West Kootenay Women’s Association– $1157
Kalein Hospice Centre Society – (50% PTE in 2013)– $2265
Granite Pointe Golf Club– $7364
Nelson CARES Society -(Old Nelson & District Housing Society)–$3355
Nelson CARES Society– $2966
Kootenay Advocacy Network– $1788
Nelson Kiwanis Projects Society– $3147
Nelson Kiwanis Projects Society– $5249
That total is slightly less than .5% of the city’s total property tax levy, which is the upper limit council has put on total permissive tax exemptions for each year.
While a federal exemption means the municipality cannot tax the property churches sit on, it can tax the property around the church like the yard and parking lot.
The city’s policy is that non-profit organizations are eligible for a permissive exemption if the organization
- provides needed social & community services to city residents
- provides arts, cultural or recreational activities of demonstrable benefit to city residents
- has the ability to raise its own revenues
- offers its services primarily to the broader community of citizens
The policy also states that an exemption will not be granted if it would result in an inappropriate shifting of costs from other levels of government to local taxpayers.
Last year council granted 10-year exemptions to several organizations that lease premises that are owned by the city, namely the Boy Scouts and Girl Guides, the Rod and Gun Club, the Nelson Curling Club, the Capitol Theatre, and Touchstones.
Related Story in The Nelson Daily:
Nelson Council continues to iron out the tax exemption wrinkles (October, 2012)