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Third Session, 45th General Assembly 55 Elizabeth II, 2006 |
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AN ACT RESPECTING MUNICIPAL
TAXATION IN THE |
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Received and Read the First Time................................................................... |
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Second
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Committee...................................................................................................... |
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Third
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Royal Assent................................................................................................... |
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HONOURABLE JACK BYRNE Minister of Municipal Affairs |
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Ordered to be printed by
the Honourable House of Assembly |
EXPLANATORY NOTES The purpose of this Bill is set out in its long title. Previously the |
A AN ACT RESPECTING MUNICIPAL TAXATION IN THE
Analysis 1. Short title 2. Interpretation PART
I 3. Real property tax 4. Tax rate 5. Occupier considered owner 6. Tenant of tax exempt property 7. Representative capacity 8. Tax exempt property 9. Supplementary assessment 10. Payment when appeal 11. Error or correction 12. Business tax 13. Rate of tax 14. Minimum business tax 15. Tax rates fixed annually 16. Arrangements re tax payments 17. Payment Review Board 18. Non-payment after arrangement 19. Where taxpayer without assets 20. Water tax 21. Regulation re: water tax 22. Collection of water tax 23. Interest on arrears 24. Licence fees 25. Circus licence 26. Deed transfer fee 27. Former water and sewage rates 28. Accommodation tax PART
II 29. Action on arrears 30. Lien for taxes 31. Where sale prohibited 32. Notice to owners 33. Right of mortgagee 34. Direction for sale 35. Advertisement for sale 36.
37. Where no bidder 38. Lien not affected 39. Distribution of purchase price 40.
41. Assessment after sale 42. Effect of sale 43. Act priority PART
44. Collection despite appeal 45. Repayment on overpayment 46. Limitations on actions 47. Defence barred PART
IV 48. Consequential amendments 49. Repeal 50. Commencement Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows: Short title 1. This Act may be cited as the City of St. John's Municipal Taxation Act. Interpretation 2. (1) In
this Act (a) "assessment" means an assessment as
carried out under the Assessment Act,
2006 and includes a general assessment and a supplementary assessment; (b) "business" includes (i) a commercial, merchandising or industrial
activity or undertaking, (ii) a profession, trade, occupation, calling or employment, (iii) an activity which provides goods or services, and (iv) a credit union, co-operative, corporation,
sole proprietorship or association of persons, whether or not it is for profit; (c) "city" means the City of (d) "commercial property" means all real
property other than residential property; (e) "commissioner" means the
commissioner appointed by the city under section 32 of the Assessment Act, 2006; (f) "council" means the (g) "financial year" means the period
from January 1 in a year to December 31 in the same year; (h) "occupier" means the person in
actual occupation of real property who is listed in the assessment roll of the
city as the owner, lessee or tenant of that property; (i) "real property" means (i) land or an interest arising from land, and includes land under water, (ii) land and buildings, structures, improvements, building service systems and storage facilities and fixtures erected or placed upon, in, over or under land or affixed to land, (iii) where a building is erected on land under a lease, licence or permit, that building may, for the purpose of this Act, be treated as real property separate from the land, and (iv) a mobile home; (j) "residential property" means real property
that is used or designed for use as a domestic establishment in which one or
more persons usually sleep and prepare and serve meals, and includes land or
buildings that are appurtenant to that property; (k) "sale" includes barter or exchange;
and (l) "taxes" unless otherwise stated,
include taxes, rates, licence fees, assessments or other indebtedness to the
council. (2) This Act shall be read as one with the City of St. John's Act and the Assessment Act, 2006. PART I Real property tax 3. The
council may impose an annual tax to be known as "the real property
tax" on owners of real property within the city, including docks, quays,
wharves and structures touching the boundary of the city. Tax rate 4. (1) The
rate of real property tax shall be fixed annually by resolution of the council
as a percentage of the value of the real property as set down in the last
assessment roll prepared by the city. (2) For the purpose of establishing real property
tax there may be imposed in respect of real property used for residential
purposes one rate of tax and in respect of commercial property another rate of
tax. (3) The council shall annually fix, establish and
impose special reduced rates of real property tax applicable to buildings in
the city to which water mains or sewer mains or both are not accessible for
servicing those buildings with water services or sewer services or both. (4) The council may, by resolution, establish different
minimum annual real property taxes in the city for residential and for
commercial property. Occupier considered
owner 5. Where
real property is occupied and the owner is not known, the occupier is
considered to be the owner for the purposes of the imposition and collection of
the real property tax. Tenant of tax exempt
property 6. The
tenant of real property that is not subject to the real property tax shall,
where rent or other valuable consideration is paid by him or her in respect of
that real property, pay the real property tax as if he or she were the owner of
the real property and the real property were subject to that tax. Representative
capacity 7. (1) Where real property is under the control of a person in a representative capacity as executor, administrator, trustee, guardian or agent, that person is liable for the payment of the real property tax only in his or her representative capacity. (2) Where the owner of real property is a minor,
the person whose name has been entered on the assessment roll of the city as
the parent, guardian or other legal representative of the owner is liable for
the payment of the real property tax, where the owner defaults in the payment. Tax exempt property 8. (1) The
following real property is exempt from the real property tax: (a) real property belonging to (b) real property exempted from the real property
tax by an Act of the Legislature; (c) productive farm land and woodland as designated
by the Minister of the Crown responsible for the land and buildings on and used
in connection with farm or wood production from that land; (d) real property which may be exempted from the
real property tax by the council by by-law that is (i) held and occupied for public worship, (ii) used in connection with and for the purpose of
a hospital for the care of the physically or mentally disabled or for the care
of the aged or infirm, including student residences, but not including other
residences and apartments, (iii) held and occupied as a public college or
school or for other public educational purposes, including student residences
and playing fields and other recreational facilities owned by them, but not
including other residences and apartments, (iv) held and occupied by a charitable organization
or institution which is so registered under the Income Tax Act ( (v) used for emergency housing, (vi) acquired from the city for the purpose of development
for public purposes, (vii) part of a low rental housing project as
defined in the National Housing Act ( (viii) used for a purpose from which the city received
the net profits; and (e) other real property that the council may by by-law
exempt, so long as it is used for a public purpose. (2) The Lieutenant-Governor in Council may by
order exempt from the operation of subsection (1) real property owned by the
Crown that may be specified in the order. (3) Where real property that is exempt from the
real property tax stops being exempt on or before December 31 in a year, the
owner or occupier of that real property is liable for the real property tax in
respect of that real property for the portion of the year it is not exempt. (4) Notwithstanding subsection (1), real property
of Supplementary
assessment 9. (1) The owner of real property that has been made subject to a supplementary assessment under the Assessment Act, 2006 is liable for the payment of the real property tax on the basis of the supplementary assessment for the remaining portion of the calendar year from the earlier of (a) the date of substantial completion of the construction; (b) the date of occupancy of the real property; or (c) the date the business was started or resumed. (2) Taxes for the current year applicable to the real property described in this section shall be collected in the same manner as if the real property had been on the assessment roll when it was delivered to the clerk. (3) Notwithstanding subsection (2), the amount of
the real property or business tax or both payable under this section shall be
that proportion of the relevant tax for the full year that the number of days
from the day on which the person completed that new construction or made the
extension or started or resumed the business at a new or additional location,
as the case may be, until the last day of the year bears to the total number of
days in the year. Payment when
appeal 10. (1) Where
real property is subject to an assessment or a supplementary assessment and an
appeal is being taken against the assessment or supplementary assessment, the
real property tax shall, pending a decision in that appeal, be payable on the
basis of the original assessment or supplementary assessment. (2) The difference between the amount of the tax collected under subsection (1) and the amount payable on the basis of the assessment as later determined by the commissioner shall be paid by the owner or refunded by the council, according to the decision in the appeal, when that decision has been made. Error or correction 11. Notwithstanding
the lapse of time, an assessor may assess and a council may tax retrospectively,
real property or other subject of taxation, the assessment or taxing of which
has been omitted from the general assessment by accident or by error, or is
invalid because of an error or irregularity and may impose a tax so omitted or
invalid upon an estate or person upon whom it should first have been imposed. Business tax 12. (1) The
council may impose an annual tax to be known as "the business tax". (2) The business tax shall apply and be assessed
and imposed notwithstanding an assessment and taxation of real property for
another tax or an exemption from that assessment or taxation under this Act. Rate of tax 13. (1) The
rate for the business tax shall be fixed by resolution of the council as a
percentage of the assessed value of the real property used by the person in
carrying on the business, trade or profession in respect of which the tax is
imposed. (2) The council may vary the rate of tax referred
to in subsection (1), in its application to different kinds or classes of businesses,
trades or professions. (3) Assessed value shall be determined by the
assessors under the Assessment Act, 2006
but where there is an existing valid assessment in respect of that real
property for the purpose of imposing the real property tax, that assessment may
be used for the purposes of this section. Minimum business
tax 14. (1) The
council may impose a minimum business tax on all businesses operating in the
city. (2) There may be differing minimum business taxes
under subsection (1) for different classes of businesses. (3) Notwithstanding subsection 13(1), the council
may impose a minimum business tax under subsection (1) as a fixed amount. Tax rates fixed
annually 15. The
council shall before December 15 in each year fix the percentages for the rates
of the real property tax and business tax for the next financial year that will
in total, together with the anticipated revenues of the city from all other
sources, produce the amount required to cover all expenditures of the council
to be made from current funds during that next financial year. Arrangements re
tax payments 16. (1) The
council may make arrangements for payment of, reduce or remit payment of real
property tax or business tax on account of the poverty of a person liable for
the payment of those taxes or for reasons where that arrangement, reduction or
remission is recommended by the board and approved by at least 5 councillors. (2) The decision of the council in respect of that
arrangement, reduction or remittance shall be final. Payment Review
Board 17. (1) The
council may appoint a board to be known as the Payment Review Board, consisting
of the city clerk and other persons whom council may determine for the purpose
of reviewing applications and making recommendations to the council under
section 16 with respect to the arrangement, reduction or remission of the
payment of real property tax or business tax. (2) A person liable for the payment of real
property tax or business tax may file with the board an affidavit and other
evidence as to the circumstances that result in his or her application for an
arrangement of or reduction or remission of payment of the tax. Non-payment after
arrangement 18. (1) Where
council has made an arrangement for the payment of the real property tax or
business tax under section 16, the lien period in respect of a postponed
payment shall start to run from the date specified in the resolution for that
postponed payment. (2) Where the postponed payment for a portion of
taxes remains unpaid for a period after the time when that payment became due,
the city may exercise the lien conferred on the city by this Act in the manner
provided and other remedies for recovering taxes contained in this Act. Where taxpayer
without assets 19. Where
the council is satisfied that the owner or person liable for real property
taxes has no assets available for execution other than the real property on
which the taxes are due and (a) it is established by evidence to the
satisfaction of the council that real property upon which taxes are charged is
of insufficient value to pay the costs of an action; or (b) an action has been taken for the recovery of
taxes due on real property and the property upon execution has not realized the
whole of the taxes and the costs of action, the council may remit payment of the taxes
or the unpaid balance and write that amount off from its books. Water tax 20. (1) The
council shall have power by resolution to fix and impose upon the owner or
occupier of real property within the city an annual tax to be known as "the
water tax" in respect of water supplied to that real property. (2) The water tax shall be payable in a manner and
at a time that council shall determine. (3) The council may impose the water tax by the
following methods and may fix a minimum or maximum amount for water tax and
vary the amount of tax in application to different classes of real property,
buildings or premises: (a) the water tax may be based upon the percentage
of the value of real property that the council may determine, or, may be levied
in the form of a surtax on the real property tax payable in respect of it; (b) the water tax may be based upon the quantity
of water used in the real property as measured and determined by water meters,
which the council may install in that real property, and charged at a rate per
4,546 litres, or that part of it that the council may determine; and (c) the water tax may be based upon and determined
by reference to a scale specifying separate classifications or categories of
values of real property and assigning to each classification or category a
specific amount or charge as the water tax under this section. (4) For the purposes of paragraph (3)(b), the council
shall have power to contract with a person for the supply or installation of
water meters and to secure the payment of the cost of those meters or the installation
of them by a first charge upon all water taxes received in respect of premises
in which the meters are installed and to issue debentures of the city securing
payment of the cost of those meters. Regulation re:
water tax 21. Notwithstanding
section 20, the minister may make regulations to establish a water tax rate
applicable to and a maximum allowable amount of water tax payable by the owner
of real property located inside or outside the city that is connected to the
water system of the city where that real property is the location of a (a) school operated under the Schools Act, 1997; (b) scheduled hospital as defined in the Hospitals Act; and (c) building owned by the Crown, and a tax rate imposed in accordance with
this section shall be considered to have been imposed, with the necessary
changes, under section 20. Collection of
water tax 22. (1) Where
a water tax imposed under section 20 or an instalment of that tax is unpaid within
30 days from the date on which the water tax or an instalment is due, the city
may discontinue the supply of water to the real property in respect of which
the water tax is imposed. (2) An occupier of or other person with an
interest in real property referred to in subsection (1) who is or may be
affected by the discontinuance of water may pay the water tax or instalment to
the council, and that occupier or other person may recover by action in a court
the amount paid by him or her from the person liable for that water tax or
instalment. (3) A water tax payable under section 20 by a
person who is the owner of or who has an interest in the real property in
respect of which the water tax is imposed for water supplied to that real
property shall attach to and be a charge upon the real property or the interest
of that person, in the same manner as other taxes under this Act and may be
recovered by the remedies provided by this Act for the recovery of taxes. (4) Where a water tax or instalment of that tax imposed
upon and payable by the occupier of real property is not paid to the council by
the occupier within one month after the water tax or instalment is payable by
the occupier, the water tax or instalment shall become payable immediately to
the council by the owner of the real property in the same manner as other taxes
under this Act and may be recovered by the council from that owner by the
remedies provided by this Act for the recovery of taxes. (5) Upon payment of the tax or instalment to the
council under subsection (4), the owner may recover from the occupier by action
in a court, the amount paid by the owner. (6) Where the water tax is imposed on or payable
by the owner of real property under section 20, the owner may, a statute or
provision of law to the contrary notwithstanding, add the amount of the water
tax to the rent payable to him or her by a tenant or lessee of the real property
to which water is supplied and the owner shall have the same rights and
remedies for recovery of the water tax from the tenant or lessee as are
available to him or her in law with respect to the recovery of rent. (7) The Public
Utilities Act shall not apply to or be considered to apply to the water tax
or to rates or charges levied, imposed or charged under this Act or under the
authority of this Act in respect of water supplied by the city. Interest on
arrears 23. The
council may charge interest on taxes that are not paid on or before the date on
which they become due, if, before making that charge, the council passes a
resolution establishing the rate of interest to be charged and when that
interest shall be applied. Licence fees 24. (1) The
council may charge annual licence fees for all persons doing those types of
business in the city that may be provided for in a regulation of the council
and the fees shall be due at the office of the city clerk before January 2 of
each year. (2) A person starting a business shall pay the prescribed
licence fee on or before the day of beginning of business. (3) Where a person, not being a commercial traveller,
starts business after June 30 in a year, that person is liable only to pay 1/2
of the licence fees in respect of that year. (4) The council shall issue to the party paying
the licence fees required under this section, a licence permitting the business
in respect of which the fee is payable, and a person shall not have a business
until a licence has been obtained. Circus licence 25. (1) A
person shall not operate or start to operate, as owner, manager or agent, a
circus in the city until he or she has obtained from the council a licence for
the operation of the circus. (2) The council may refuse a licence for a circus
or grant a licence for a limited period of time and in a location which the
council may determine. (3) An owner, lessee or possessor of land or
premises in the city shall not permit that land or premises to be used for the
operation of a circus unless a licence for that operation is granted by the
council under this section. (4) The council may impose on a person operating
as owner, manager or agent of a circus within the city a licence fee prescribed
by the council for each day the circus is in operation, and the licence fee
shall be paid in advance for each day of operation or intended operation. (5) It is a condition of a licence issued to a
person under this section that the licence shall automatically be cancelled
upon failure of the licensee to make payment in advance on a day of the amount
payable under subsection (4). (6) The licence fee payable under this section
shall be recoverable in a court in an action by the city against that operator
and the property and equipment employed in the operation of the circus shall be
liable to attachment and to execution in satisfaction of a judgment in an
action, whether or not the property or equipment is owned by the person liable
for those licence fees. (7) Where a person contravenes this section, he or
she is guilty of an offence under this Act. Deed transfer fee 26. (1) The
council may impose a deed transfer fee not exceeding $25 in respect of the
transfer, sale, assignment or conveyance of real property within the city or,
where real property is partly within the city, in respect of the portion within
the city. (2) Where the council imposes a deed transfer fee
under subsection (1), a document in relation to which the fee is liable to be
paid shall not be registered in the Registry of Deeds without prior proof to
the satisfaction of the Registrar of Deeds of payment of that fee. (3) For the purpose of subsection (2), the council
may authorize the use of some form of receipt or stamp that is, in the absence
of evidence to the contrary, proof of payment. Former water and
sewage rates 27. Where
in an agreement, lease, charter or contract it is provided that in relation to
real property within the city water and sewage rates are payable by a person or
company, it shall be considered that the real property tax required to be paid
by this Act shall be instead of those water and sewage rates which were previously
agreed upon or ordered to be paid. Accommodation tax 28. (1) The
council may impose a tax to be known as the "accommodation tax" upon
a person who, for a daily charge, fee or remuneration is accommodated, lodges
or stays in a room in a building in the city which is (a) licensed under the Tourist Establishments Act; (b) owned by the Memorial University of Newfoundland;
or (c) located at the Littledale Conference Centre. (2) A tax imposed under subsection (1) shall be
not more than 3% of the amount charged for the accommodation, lodging or stay referred
to in that subsection. (3) Subsections (1) and (2) shall not apply to (a) a person who pays for accommodation, lodging
or a stay in a room for which the daily charge or remuneration is not more than
$20; (b) a student who is accommodated, lodges or stays
in a room in a building referred to in paragraph (1)(b) or (c) while he or she
is registered at and attending a post-secondary educational institution; and (c) a person who is accommodated, lodges or stays
in a room for more than 30 consecutive days. (4) A tax collected under this section shall be
paid into an account established for that purpose, and that account shall be
audited and money paid out of the account in the manner required by the Memorandum
of Understanding executed on October 23, 1998 by the Government of Newfoundland
and Labrador, the City of St. John's and the Avalon Convention and Visitor's
Bureau, and amendments to that memorandum. (5) The council may, in the manner required by
law, prescribe those resolutions and by-laws which are necessary to implement a
tax under this section in accordance with the Memorandum of Understanding
referred to in subsection (4). PART II Action on arrears 29. (1) The council may immediately after January 1 and July 1 in each year take proceedings to recover all amounts due for taxes, assessments, rents and licence fees then owing and unpaid, including those due for the immediate past half year. (2) Where a tax, fee, levy, assessment, fine or
charge imposed by the council is in arrears, in addition to other remedies that
the council has to enforce payment, the council may disconnect the service of a
water system, sewage system or water and sewage system provided to the person
who owes the tax, fee, levy, assessment, fine or charge to the council. (3) Where it is necessary for the purposes of
subsection (2), the employees or agents of the council may enter upon real
property, whether publicly or privately owned, and at reasonable times enter
into the buildings or structures on the real property. Lien for taxes 30. (1) Taxes
fixed, established and imposed in respect of real property, including business
tax where the owner of the business is also the owner of the real property in
or on which the business is located, constitute a lien upon that real property,
except where the real property is sold for tax arrears by the council. (2) The lien attaches on the date on which the
relevant tax was due to the council and continues for a period of 6 years after
or after the last payment on account of the tax or acknowledgement in respect
of the tax has been made or given to the council, whichever is the later. (3) The lien described in subsection (1) is considered
to rank in priority over a grant, deed, lease or other conveyance, and over a
judgment, mortgage or other lien or encumbrance affecting the real property
affected, or the title to the real property. (4) Where proceedings are taken to enforce the
lien within the period of 12 years, the lien shall continue in force until the
completion of the proceedings. (5) The registration of a grant, deed, lease or
other conveyance, or of a judgment, mortgage or other lien or encumbrance,
whether it was before or after the time the lien for rates attached, in no way
affects the priority of the lien. (6) It shall not be necessary to register the lien
in the Registry of Deeds. Where sale prohibited 31. Notwithstanding section 30, real property that is occupied for full-time residential purposes by the owner, not including a person considered to be an owner under section 5, shall not be sold for tax arrears by the council so long as it is occupied in that manner. Notice to owners 32. (1) The
city clerk shall inquire into the ownership of and encumbrances affecting real
property and the names of the present owner and encumbrancers in order to serve
each of them with the notice and information required by this section. (2) For property to be sold for arrears of taxes,
the city clerk shall serve upon the owner and encumbrancers of the real
property, where known, a notice signed by the city clerk which shall contain (a) a general description of the real property affected; (b) the amount of arrears of taxes owing in respect
of the real property; and (c) a statement that the real property is liable
to be sold under this Act for the arrears, with interest and with the expenses
of and incidental to the arrears unless they are paid within 60 days from the
date of the notice. (3) Service of the notice upon a person mentioned
in this section is sufficient for this Act, where it is sent by registered mail
to the last known address of the person, or where the address of the person is
not known, then by leaving the notice with the tenant or occupant of the real
property affected or by posting a copy of the notice in some conspicuous place
on the property. (4) Where real property has been assessed
"owner unknown" or the chief assessor has not provided information
respecting ownership or encumbrances and the city clerk has not been able to obtain
information respecting ownership, the notice shall be posted in a conspicuous
place on the real property affected. Right of
mortgagee 33. (1) A
mortgagee, judgment creditor or other person having a lien, charge or
encumbrance upon or against real property liable to be sold for taxes, or in
respect of which taxes are due, may after the lien for taxes has attached and
before sale, pay to the city clerk the amount of the taxes, together with all
interest and expenses incurred in respect of the real property affected. (2) Where a person pays taxes under subsection
(1), that person may add the amount paid to his or her mortgage, judgment or
other security, notwithstanding a clause or condition to the contrary contained
in the security, and shall have the same rights, remedies and privileges
against that real property as he or she has under the security held by him or
her and he or she may sue for and recover in an action for debt the amount
paid, together with interest, against the person liable under this Act to pay
that amount. Direction for
sale 34. After
the time limit in the notice required to be given by section 32 the city shall,
on the application of the city clerk, by resolution direct that the real property
be sold. Advertisement for
sale 35. (1) The
city clerk shall immediately upon receipt of a copy of the resolution referred
to in section 34 proceed to advertise the real property referred to in the
resolution for sale at public auction at a time and place that shall be stated
in the advertisement. (2) Notice of the sale shall be published for at
least 30 days immediately before the sale, in a daily or weekly newspaper in
circulation in the city by one insertion each week, and it shall be sufficient
in the notice to put the street and number of real property advertised, or to
put other short reference by which the real property may be identified, together
with a statement that a full description may be seen at the office of the city
clerk. 36. (1) At
the time and place mentioned in the notice of sale the city clerk shall, unless
the arrears of taxes and interest and the expenses incidental to those
proceedings and sale are then, or have been previously, paid to him or her,
proceed to sell at public auction the real property or portions of the real
property that in his or her judgment are sufficient to pay those taxes,
interest and expenses. (2) Where the real property described or referred
to in the notice of sale is only a portion of real property, and the portion
does not sell for a sufficient sum to satisfy the taxes, interest and expenses
due with respect to the real property of which it forms a part, the city clerk
may immediately, and without further notice, sell the whole or a portion of the
remainder of the real property of which the portion sold formed a part to
satisfy the taxes, interest and expenses. (3) The city, by an official or agent, may bid for
and purchase real property being sold to satisfy taxes, interest and other
expenses due. Where no bidder 37. (1) Where
at the time appointed for the sale of real property no bidder appears, or where
the city clerk fails at the sale to sell that real property for the full amount
of the arrears of taxes, interest and expenses due, he or she shall adjourn the
sale until a day then to be publicly named by him or her, not earlier than one
week and not later than 2 weeks after. (2) The city clerk shall give notice in the paper
in which the sale was originally advertised, or where not then in circulation,
in another newspaper circulating in the city, of the time and place to which
the sale is adjourned and he or she shall again put up the real property at
public auction and may sell the real property for any sum that can be realized. Lien not affected 38. Where
real property is sold for taxes and the sale is set aside for an error,
irregularity or other cause, the lien on the real property shall not as a
result be discharged but shall continue for the same time as if the date of the
setting aside were the date on which the sale took place and the property may
again be sold unless the taxes, interest and expenses against it are paid. Distribution of
purchase price 39. (1) The
city clerk shall, out of the purchase money received on the sale of real
property, deduct the amount of taxes, interest and expenses owing to the city,
and taxes that are due at the time of the sale. (2) Where there is a balance of the purchase price
remaining after making the deductions in subsection (1), the city shall pay the
person entitled to it, or, where there is a dispute as to who is entitled, as
determined by an order of the Trial Division on application by the city. 40. Where
the purchaser of real property at a sale under this Act fails to immediately,
after the sale being knocked down to him or her, (a) pay the city clerk or his or her agent the
amount of the purchase money; or (b) deposit with the city clerk an amount equal to
the amount of the taxes, interest and expenses of sale for which the real
property has been sold, the city clerk shall immediately put up
the real property for sale again. Assessment after
sale 41. (1) Where
real property has been sold under this Act for arrears of taxes, it shall be
assessed to the purchaser, his or her executors, administrators or assigns. (2) Where the city is the purchaser, the real property
shall be assessed to the city. (3) Where real property has been sold under this
Act for arrears of taxes, the council shall give to the purchaser a valid
conveyance in the name of the city signed by the mayor and city clerk or the
person appointed by council and sealed with the seal of the city. Effect of sale 42. The
conveyance referred to in section 41 shall be conclusive evidence that the
provisions of this Act with reference to the sale of the real property
described in that conveyance have been fully complied with, and everything
necessary for the legal perfection of that sale has been performed, and shall
have the effect of vesting the real property in the purchaser, his or her
executors, administrators or assigns, in fee simple, free from encumbrances. Act priority 43. (1) A
tax shall not be imposed or collected under the City of St. John's Act in respect of an assessment which has
occurred after (2) Where taxes or fees are provided for in this Act and in the City of St. John's Act, those taxes or fees with respect to services, licences or taxable subjects shall be imposed and collected only under this Act. PART Collection
despite appeal 44. Taxes
levied or imposed upon a person under this Act after a decision by the commissioner
may be collected or recovered notwithstanding an appeal to the Trial Division. Repayment on
overpayment 45. (1) Where a person has paid taxes based on an assessment that is subsequently quashed, reversed or varied on appeal, and as a result of which his or her taxes have been overpaid, he or she shall be repaid by the city out of its general revenues the amounts overpaid but where an appeal is taken against that order, the person is not entitled to repayment until the disposition of the appeal. (2) No interest shall accrue or be payable where a
repayment is made under subsection (1). Limitations on
actions 46. (1) An
action or other proceeding, except an action or other proceeding brought by the
city for the collection of taxes, shall not be brought in a court with respect
to taxes based on an assessment under the Assessment
Act, 2006 (a) except within 6 months after the date upon which the assessment roll is required by this Act to be forwarded to the city clerk or within 6 months after the forwarding of the assessment roll in case the assessment roll is not forwarded within the time fixed for that purpose; or (b) where an appeal has been taken to the court,
except within 15 days after the date of the decision of the Trial Division. (2) Where an appeal has been taken to the Court of
Appeal, an action or proceeding shall not be brought in another court with
respect to the assessment except an action or other proceeding brought by the
city for the collection of taxes. Defence barred 47. An issue or matter that could have been raised by way of appeal to the commissioner or the Trial Division within the times limited for that appeal shall not be raised by way of defence in an action or other proceeding brought by or on behalf of the city. PART IV Consequential amendments 48. (1) Subsection 99(11) of the City of St. John's Act is amended by
deleting the reference " (2) Subsection 403.2(4) of the Act is amended by
deleting the reference "St. John's
Assessment Act" and substituting the reference " City of St. John's Municipal Taxation Act
". (3) Subsection 39.2(4) of the Urban and Rural Planning Act, 2000 is amended by deleting the reference "St. John's Assessment Act" and substituting the reference "City of St. John's Municipal Taxation Act". Repeal 49. The Commencement 50. This Act shall come into force on a date to be proclaimed by the Lieutenant-Governor in Council. ŠEarl G. Tucker, Queen's Printer |