Local improvement taxes

Infrastructural work that serves to enhance or develop a sector of the city is a “local improvement.” Such work focuses on the water supply and sewage systems, paving of streets and lanes, curbs or sidewalks and street lighting.

Property owners who benefit from such work pay a local improvement tax that serves to partially or fully service the debt incurred in funding such work.

To determine if a local improvement tax has been applied, please refer to the following list of residentials projects. Please note that the projects for whom all planned infrastructure works have been completed and taxed more than 3 years may not appear. If a project does not appear on this list, please let us know by email.

Last update: July 19, 2011 

Since 2004, however, contractors have been responsible for paying most infrastructural work involved in new residential construction projects. As the cost of such work is included in purchase price of the immovable, no local improvement tax is levied.

Tax base

Borough by-laws authorising the work specify which immovables benefit from such work and thus determine which property owners will pay local improvement taxes. These by-laws also determine how costs will be distributed based on frontage, land area, assessment or some combination of these factors.

Payment

During the first year of local improvement taxes, property owners receive a statement detailing the principal to be repaid and the terms of payment dictated by the by-law. In subsequent years, the local improvement tax is included on the annual property tax account.

Property owners that are required to pay local improvement taxes may at any time repay the principal of their debt, just as they would with a mortgage. This rule does not, however, apply to local improvement taxes levied under Section 159 of Appendix C of the Charter of Ville de Montréal (improvements based on an agreement between the city and property owners benefiting from work done).

1. Call your borough office.
2. Call 311(island of Montreal) or 514-872-0311 (outside Montreal).
3. Send us an e-mail.

The details contained here are for information only and have no legal value. The acts and by-laws posted on this site are for administrative purposes only, and although efforts are made to update them, they may not be the latest versions. Please check the sources before using the texts officially.