Disclaimer: This is intended to provide information respecting Real Property Tax in the Province of New Brunswick under the Real Property Tax Act, the Real Property Transfer Tax Act and the Assessment Act. This should not be regarded as a replacement of the laws, regulations or administrative documents to which it refers.
The introduction of the program of "Equal Opportunity" in New Brunswick in 1967 saw the province take over responsibility for health, education, social services, and the administration of justice to ensure equal accessibility to these services for all residents of the province. Since that time, the province has shared the property tax field with local governments. Through the Assessment Act and the Real Property Tax Act the Province introduced a centralized assessment and collection system for real property taxation (Provincial, Municipal, Regional Municipalities, Local Service Districts and Rural Communities). 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 municipalities and local governments.
All real property in the province is assessed annually for taxation purposes on the basis of its real and true value. Property is assessed in the name of the owner of the land as of January 1st of each year. Real Property is classified as either residential property (owner-occupied, non owner-occupied or other residential) or non-residential property. Real Property, Residential Property, and Non-residential Property are defined within the Assessment Act.
Every person who owns real property in the Province of New Brunswick or who leases property from the Crown (either Federal or Provincial) will pay property tax subject to certain exemptions.
Section 4 of the Assessment Act identifies real property that is exempted from taxation.
Where real property is used partly for residential purposes and partly for non-residential purposes the determination of the portion of the total assessment attributable to residential property and to non-residential property shall be made by the Director (Executive Director of Property Assessment Services as appointed by Service New Brunswick and includes any person designated by the Director to act on the Director's behalf).
The assessment base of real property accounts is established and maintained by Service New Brunswick (SNB). Each year, SNB Property Assessment Services, assesses all real property in the Province, at its real and true value, for purposes of imposing real property taxes each year.
Provincial property tax rates for the various categories of property are legislated under the Real Property Tax Act. Effective January 1, 2023, the provincial rate on residential housing is set at $0.5617 per $100 of valuation, while the rate for other residential property is set at $1.0345. Non-residential property is subject to a provincial rate of $1.8560 per $100 of assessment. There is an additional provincial rate ($0.0194 per $100 valuation) charged to all taxpayers to help defray the cost of assessing properties.
Municipal and Rural Community Local Rates
In the fall of each year, the total residential and non-residential assessment base is provided by SNB to the Department of Environment and Local Government for each municipality and rural community for use in preparing its upcoming annual budget and for setting the local (municipal) property tax rate. Non-residential property is taxed at a rate of one and one-half times the rate on residential property. In the November-January period, municipalities and rural communities submit their budgets to the Province (Department of Environment and Local Government), indicating the tax rates and total revenue they intend to raise through property taxation. This represents the municipal tax warrant.
Local Service Districts (LSD) and Rural Communities Provincial Rates
Each year the Minister of Environment and Local Government fixes a rate of tax to be levied on all real property within a local service district or rural community. The rate applicable to non-residential property is one and one-half times the rate on residential property. In addition, a tax of $0.4115 per $100 valuation is imposed on all owner-occupied residential property not within a municipality or a former LSD now located in a rural community or regional municipality.
On behalf of the Tenant and Landlord Relations Office under the Residential Tenancies Act, there is a fee of $0.0486 per $100 of assessed value imposed on residential property that is not owner-occupied and is not exempt under the Assessment Act.
On behalf of each Business Improvement Area (BIA) Corporation, in accordance with the Business Improvement Areas Act, the Province levies and collects a business improvement area levy at a rate determined by the BIA Corporations. This rate is on real property that is classified as non-residential and is not to exceed $0.20 per $100 of assessed value.
| Summary of rates: Effective January 1, 2023 | |||
|
Provincial Rate*
|
Local Rate (municipal/rural)
|
Special Rates in LSDs/rural
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| Residential: Owner-Occupied
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0 **
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set by Municipality, RM, RC or by the Minister of ELG in LSDs and former LSDs
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In LSDs $0.4115 In Rural $0.4115 or less
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| Residential: Non Owner-Occupied
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$0.5617
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Same as above
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0
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| Residential - Other | $1.0345 | ||
| Non-Residential
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$1,8560
|
|
0
|
| Cost of Assessment
|
$0.0194
|
|
|
** On up to 0.5 hectares of residential property. Property in excess of 0.5 hectares is subject to the $0.5617 provincial rate. |
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There are two programs administered by Property Assessment Services of Service New Brunswick that may be available to the assessed owner of real property who occupies the property as their principal place of residence; namely, the provincial residential property tax credit and the property tax allowance.
Click here (Service New Brunswick Web site) to access the application form for printing or to submit your request online.
For more information on this program and how to apply, please refer to the Property Tax Relief Programs for Homeowners Property Assessment Services, Service New Brunswick
Click here (Service New Brunswick Web site) to access the application form for printing or to submit your request online.
The Farm Land Identification Program (FLIP) is administered by the Department of Agriculture, Aquaculture and Fisheries. This program allows owners of farmland to defer portions of real property taxes on eligible (cleared) agricultural land and farm outbuildings. Information on the eligibility criteria relating to the FLIP Program, can be found on the Department of Agriculture, Aquaculture and Fisheries Web site.
Charitable or Not-For-Profit Organizations
The Assessment Reduction Program, administered by Property Assessment Services of SNB, may be available to charitable and not-for-profit organizations that own real property and meet the
conditions of eligibility. Information relating to the assessment reduction program can be found with the Property Assessment Services of the Service New Brunswick Web site.
Property Assessment Services (SNB) is mandated to assess all real property in New Brunswick in compliance with the Assessment Act and its regulations. A Property Assessment Notice is issued to all real property owners in January of the taxation year.
Finance and Treasury Board is supplied annually with the list of municipal, local service districts and rural community rates, which are used to calculate the amount of annual tax to be levied and then notifies taxpayers by way of a Tax Notice (bill usually sent the first working day of March each year). Although the Real Property Tax Act allows for each Municipality or Rural Community to bill and collect its own municipal tax, all have opted to have the Province collect on its behalf. The Province guarantees 100% of the municipal tax warrant regardless of its rate of collection or changes in assessed valuation throughout the year. The Department of Environment and Local Government works directly with each municipality and rural community and ensures payments to the municipalities and rural communities.
Annual Property Assessment Notice (also refer to SNB Property Assessment Services – Understanding your notice)
Each year, in January, Property Assessment Notices are mailed to owners of real property. This Notice advises the owner of the Real Property Assessment value and other valuation details. The Notice will show the mailing date of the Notice and the Request for Review deadline for property owners who disagree with the Real Property Assessment value.
The Notice is in three (3) parts:
Amended Property Assessment Notices
These Notices are issued on accounts as an amendment to the January notice as determined by SNB Property Assessment Services, usually to correct an error on the Annual Property Assessment Notice or Tax Notice. Supplementary Amended Property Assessment Notices are not issued as a result of a change in ownership through the year. The onus is on the purchaser to inquire as to any balance due on real property acquired. These notices are issued around the first of the month from March to December.
Tax statements are issued from March to December each year where there has been a change to the account balance for any reason other than a payment, e.g. assessment change, non-negotiable cheque, transfer payments. They are issued to inform the taxpayer of a change, however, they do not change the dates established on the March Notice. There is no “payment due date” as their main purpose is to advise that payment is past due. Statements are also issued in March and April as a result of a change in assessed ownership that occurred in January or February.
Once a year, usually in September, a tax statement is issued on accounts that only owe the current year at the time of issuance over a set dollar limit.
The following is a description of the Tax Notice (tax bill):
A Property Account Number is assigned to each property to identify it for assessment and taxation purposes. It is located in the upper portion of the Property Tax Notice (bill) below the mailing address. .
Parcel Identification Number (PID) (LRIS)
The initials PID stand for Parcel Identification Number. This number is assigned to your property to locate it on maps. It is located in the upper middle portion of the Property Tax Notice (bill).
The Mailing Date reflects the date the Property Tax Notice (bill) is issued.
All real property is assessed at its real and true value as of January 1 each year. The taxation year is the calendar year - January to December.
The penalty date shown on the Property Tax Notice (bill) is the last day before penalty begins being imposed on the current year taxes if a payment in full was not made prior to the date. On after that date, a penalty, calculated at a rate of 0.7591 percent per month (9.50% annually), is applied on the balance due..
The Penalty for Overdue Accounts commences the first day of the month following 85 days from the mailing date (annual levy date). If the annual levy is cancelled and re-established as of another date, the penalty date will be moved accordingly. Penalty will continue to accrue the first day of each month thereafter until the account has been paid in full.
Any adjustment to tax as a result of an assessment change will automatically adjust any penalty associated with that tax.
Any unpaid taxes and/or penalty from previous years will show as arrears due. Payments received after the production of the Property Tax Notice (bill) or un-processed Equalized Monthly payments will not be reflected on the Notice but will be credited to your tax account. By calling your local Finance and Treasury Board you may obtain an up-to-date balance.
It is possible that at the time the Property Tax Notice (bill) is produced there may have been a credit balance from previous year(s) in your tax account. Credits usually occur as a result of an overpayment or as a result of a reduction in assessment after a payment has been received. On occasion, some taxpayers make prepayments towards their next year's taxes.
Effective April 3, 2012, the rate of interest payable on property tax credit balances 1.5%. Interest is applied on two types of credits:
Business Improvement Area (BIA)
On behalf of each Business Improvement Area (BIA) Corporation, in accordance with the Business Improvement Areas Act, the Province levies and collects a business improvement area levy at a rate determined by the BIA Corporations. This rate is on real property with buildings that are classified as non-residential and is not to exceed $0.20 per $100 of assessed value.
The Residential Tenancy Fee is a fee on residential premises that may be subject to rental income. Certain properties are exempt from this fee, as outlined in the Residential Tenancies Act which is administered by the Tenant and Landlord Relations Office. The fee imposed is $0.0486/$100 assessment based on the residential portion rented for habitation.
Bottom Portion of Tax Notice (bill)
The bottom portion of the Tax Notice (bill) is to facilitate ease of payment. This payment stub should be attached to your payment to ensure payment is posted to the correct tax account.
I made a payment on my tax account. Why is it not showing on my tax bill?
As the Property Tax Notice must be produced ahead of time in order to be ready for mailing in early March, there is an area on your Tax Notice that indicates the last date transactions were taken into account in preparing your Tax Notice. Payments made after the last transaction date indicated on your Tax Notice would not be included on the Tax Notice, but would be reflected in your account. To obtain an up-to-date balance you should contact Finance and Treasury Board.
Why have my taxes increased from last year?
The reason for an increase in the amount of tax levy from the previous year can be caused by:
What do I do if I did not receive a Property Tax Notice (bill)?
For the non-receipt of a Tax Notice, inquiries should be directed to Finance and Treasury Board by calling 1-800-669-7070. Taxes are due and payable on the day on which the Notice is mailed. Should a taxpayer not receive their Notice, either a SNB Service Centre or the Department of Finance and Treasury Board can provide the required amounts to pay pending the receipt of a copy of the Notice. No exemption from taxation is conferred by reason of non-receipt of the Notice.
The most convenient ways to pay your bill are:
New payment methods:
Existing Payment Methods:
If paying by cheque(s) please write your property account number on each cheque.
Cheques are to be made payable to the Minister of Finance and Treasury Board
Please Note: Taxpayers should have the bottom portion of their Tax Notice (payment stub) when making payments in person to ensure accuracy in posting.
Monthly Payment Arrangements:
Property owners in arrears may also call the Collection Services at 1-855-806-2472 to establish a payment arrangement. A Collections Officer will be happy to assist you with determining your monthly property tax payment. A payment arrangement that is maintained in good standing will ensure that tax sale proceedings are not commenced. However, please note that failure to honour a payment arrangement may result in tax sale action being taken.
There are several avenues to pursue if you feel the assessed value of your property is in excess of the real and true value (market value). The first step would be to contact SNB to speak with your assessor. The telephone number is found on your Property Assessment Notice.
It is important to note that, if no decision is rendered from the Request for Review or Appeal processes prior to the date penalties commence and you wish to avoid penalties, then the balance due must be paid on or before the applicable date. Any reduction in assessment after full payment has been made will result in a credit balance, which will remain in the account as a prepayment towards next year's taxes unless a written request for a refund is received
If an adjustment is made to your real property tax account after you have paid your account creating a credit balance and you wish to obtain a refund, a written request for a refund is required by the assessed owner or their representative. (Click here to access the form.) A form may also be filled out at your local Service New Brunswick Centre or, a request may be made in writing to the:
Finance and Treasury Board
Revenue Administration Division
PO Box 3000,
Fredericton, NB
E3B 5G5
You may leave the credit in your tax account where it will accrue interest, as a prepayment towards next year’s taxes. Additional information may be obtained by calling 1-800-669-7070.
Payment arrangements must be discussed with the Collection Services. Taxpayers may contact the:
Collection Services
1-855-806-2472
or
Although debit cards, and other payment methods are accepted, credit cards are not accepted for this type of payment.
In instances where accounts are in arrears, in excess of one year, and no acceptable payment arrangements have been made, the property can be sold by the province to recover the taxes owing. The following steps must be carried out prior to the sale of any property:
This notice is issued each year on all accounts with arrears in excess of one year. As an example, as of January 1, 2013, any account that has arrears outstanding for at least the 2012 taxation year will receive this notice if the balance remains unpaid.
Anytime after the expiration of one month following the issuance of the Notice of Tax Sale, if the taxes and/or penalties remain due and unpaid, tax sale costs may commence in preparing a property for tax sale. The assessed owner must be served with a notice stating that the real property will be sold in accordance with the Real Property Tax Act and the regulations, if the property is to be sold for non-payment of taxes. This notice is currently delivered by the Sheriff's office or Process Servers.
All properties prepared for tax sale must be advertised prior to the sale. The advertisement must appear at least once in each of two consecutive weeks in a newspaper having general circulation in the area where the property is located and in a regular issue of the Royal Gazette. The advertisement includes the name of the assessed owner, the date, time and place of the tax sale, the property account number, a brief description of the property and the terms of sale.
For more information, please contact the Revenue Administration Division at (800) 669-7070 or via email at [email protected]
Properties are sold by public auction conducted by the Sheriff at the date, time and place as advertised. Subsequent to the advertisement of the tax sale, but prior to the actual tax sale, tax sale proceedings can be halted by payment of all taxes, penalties and costs. Any properties, not "paid-out" prior to the sale or where acceptable payment arrangements have not been made, will be sold. If there is not a successful bid on a property from the general public, a representative from Finance and Treasury Board/SNB may bid on behalf of the Province.
All properties sold at tax sale are subject to a thirty (30) day redemption period effective from the date of the sale. Anyone can make application within this period to redeem (repurchase) a property sold at the tax sale. Under redemption, the purchaser, whether it is the Province or an individual, is entitled to receive reimbursement of the selling price plus 15% of that amount in addition to any costs incurred that are refundable under the Real Property Tax Act if a property is redeemed. If the monies are paid within the allotted time, the property reverts to the assessed owner at the time of sale and the purchaser is refunded as outlined above.
If no application to redeem is made, or if an application is made but not finalized, then a Tax Deed will be prepared and executed by Finance and Treasury Board to transfer ownership of the property purchased at the tax sale to the purchaser in fee simple absolute.
To view properties acquired by the Province through previous tax sales, please refer to the Department of Transportation and Infrastructure, Surplus Property Web site. For more information on these properties or to submit an offer, please contact the Department of Transportation and Infrastructure at (506) 453-2221.
For further details related to the tax sale process, please contact the Revenue Administration Division at (800) 669-7070.
In accordance with Section 20 of the Real Property Tax Act, where a property is damaged or destroyed to the extent of five thousand dollars ($5,000.00) or more and the insurer has received a formal proof of loss under a policy of insurance covering the property, the insurer must within forty-eight hours of receipt notify Finance and Treasury Board of such loss. In the event that there are unpaid property taxes and/or associated penalties related with the real property, such a liability constitutes a first charge lien against money payable under a policy of insurance on improvements of such real property. The department will advise the insurer within ten-days whether the department wishes to place a lien on insurance monies and to what extent, being the total amount of the liability.
The insurer is obligated to pay the department the full amount of the lien or, if the amount the insurer is liable to pay under the policy is less, the full amount of the payment. If the amount payable is greater than the lien, the insurer will pay the department the amount of the lien and the remainder to the insured. Such action cannot be considered to increase the amount payable under a policy of insurance.
If there is no balance due at the time of notification, the department will notify the insurer that it waives any rights to insurance monies.
To assist taxpayers in the event of a state of emergency declared by the Government of the Province or the Government of Canada and the extent of the damage or destruction to the real property is ten thousand dollars ($10,000.00) or more, the department may notify the insurer that the insurer is not liable to pay the liability.
Related Information: See also Application For Adjustment Due To Damage/Destruction
Application for Adjustment Due to Damage/Destruction
Where real property is damaged or destroyed in the current taxation year or one-year prior, a taxpayer may be eligible for an adjustment in the amount of tax, which is imposed in the year in which the damage or destruction occurs. Although there is no impact on the assessed valuation in the year of the damage, a taxpayer may make application on the appropriate form for consideration for an adjustment to the property taxes.
The application form may be obtained through the following website www.snb.ca under For Individuals/Forms and Information/Finance or direct from the closest SNB Property Assessment Services. An application form is also sent automatically to taxpayers when the department has received notification from insurers of receipt of a formal proof of loss.
Once an application is approved by SNB, Finance and Treasury Board will calculate the amount of tax adjustment based on the assessed value associated with the amount of real property damage as determined by SNB. Should the adjustment result in a credit balance, a taxpayer may leave the credit as a pre-payment of future taxes or make a written request for a refund. If the account has an outstanding liability after the adjustment, a tax statement will be issued indicating the revised balance due.
See also Lien on Insurance Monies .
Mobile Homes Moved Out-of-Province
Where a mobile home is removed from the Province in the current taxation year or one-year prior, an adjustment in the taxes imposed in the year in which the mobile home is removed may be made. Although there is no impact on the assessed valuation in the year the mobile home was moved out-of-Province, a taxpayer may make application on the appropriate form for consideration for an adjustment to the property taxes. There is no adjustment for mobile homes moved to new locations within the Province.
The application form may be obtained through the following website http://www.snb.ca/ under For Individuals/Forms and Information/Finance or direct from the closest SNB Property Assessment Services.
Once an application is approved by SNB, Finance and Treasury Board will calculate the amount of tax adjustment based on the date the mobile home was moved out-of-Province. Should the adjustment result in a credit balance, a taxpayer may leave the credit as a pre-payment of future taxes or make a written request for a refund. If the account has an outstanding liability after the adjustment, a tax statement will be issued indicating the revised balance due.
Tax Certificates are legal and binding documents issued by Finance and Treasury Board in accordance with the Real Property Tax Act and Regulation. Any person may request a Tax Certificate if the tax account number is provided and the fee accompanies the request. Law firms or financial institutions usually request certificates for such purposes as the sale or purchase of real property, refinancing or assurance that taxes have been paid.
A certificate reflects the current assessed owner, location and description of the real property, property account number, current levy, if a tax sale has occurred within the last 30 days, account balance and the issuance date of the certificate. In addition, at the bottom of the certificate, the department will indicate any footnotes that it feels may be of assistance to the requester, such as any tax sale costs incurred and/or if the property is registered under the Farm Land Identification Program.
It should be noted that the facts stated on the certificate may change subsequent to the issuance of the certificate, as a result of a change in the assessment of the property or as a result of a payment being charged back as non-negotiable.
Tax Certificates only report liabilities related with property taxation and do not reflect any liabilities associated with other taxes administered by Finance and Treasury Board. For other revenue tax liabilities, a tax status statement should be requested (See Tax Status Statement)
Online Requests (up to ten tax accounts per order)
Certificates may be ordered online by accessing the Government of New Brunswick Web site: www.gnb.ca/Finance.
The fee for an online order is twenty dollars ($20.00 CAD) per property tax account and must be paid by credit card at the time of the order. A requestor may request ten certificates per order. Upon the successful completion of the order the requestor will receive a confirmation screen, which will allow them to print the approved certificates and payment receipt only at that time. However, as a precaution they will also receive an e-mail confirmation of their order with the same certificates and receipt attached. Any certificates that will require further research by the department will be identified on their confirmation. These certificates will either be e-mailed to the requestor upon completion, normally within one business day, or they will be contacted accordingly.
To complete an online order, the requestor will be required to enter the following information:
The application is not designed to allow requests on PID’s. If you enter a PID number and it is also a valid PAN you will receive and be charged for the certificate.
Upon completion of your order you will be assigned a reference number. This reference number will facilitate tracking of your request and should be quoted when inquiring. Once you have been advised of the completion of your order and leave the page you will be unable to obtain another copy online.
Please Note: If the order is left unattended for thirty (30) minutes or more prior to completion, the online application will “time-out” and the order process will have to be restarted.
See also:
Frequently Asked Questions
User’s Guide
Security
Browser Requirements
Refund Policy
Although the department offers an online service to request Tax Certificates, other options are available. Requests may be made:
Finance and Treasury Board will e-mail the certificate upon completion if the address is known or unless an alternative delivery method has been identified. The fee for processing manual requests is twenty-five dollars ($25.00 CAD) per tax account and must be paid at the time of the request. Every attempt is made to process the request within two working days.
Please note: verbal balances provided to a vendor’s solicitor or representative are not legal and binding and do not include tax sale costs and Business Improvement Area (BIA) balances; however, these are shown as footnotes on the certificate.
Manual Requests (in person or by mail) - $25.00 CAD per tax account
Online Requests - $20.00 CAD per tax account
For any inquiries related with a Property Tax Certificate please call 1-800-348-9211, Monday to Friday, between the hours of 8:15 and 4:30. Property tax calls not related to the issuance of Tax Certificates can be addressed by calling 800-669-7070.