Are you considering building a new rental property or renovating a existing residential property to create a secondary suite? Would a tax incentive sweeten the deal? Read through this page and if you feel you qualify for the incentive, please reach out! We would be happy to get the application process started with you!

This incentive is applicable to new construction or renovations to existing residential developments within the Town. Subject to Council’s discretion and authority, developments may receive an exemption of the municipal portion of taxes for a period of up to four years from occupancy being granted for the development. The incentive portion is only applicable to the new suite, which will be calculated by the increase in assessed value of the property. This incentive is only for the municipal portion of the taxes, other taxes, including but not limited to school and senior’s taxes are not included in the incentive. Credits will be applied directly to the municipal portion of the tax roll and the incentive will not be paid out.

New residential and new assessed portion of Secondary Suites, will be exempt from the municipal property taxes equal to:

  • 100% of the value of the current year’s municipal tax levy in the first year following occupancy of the new property(s), or secondary suite.
  • 75% of the value of the current year’s municipal tax levy in the second year following occupancy.
  • 50% of the value of the current year’s municipal tax levy in the third year following occupancy.
  • 25% of the value of the current year’s municipal tax levy in the fourth year of occupancy.

To apply for an exemption, an application must meet all the following criteria:

  • The properties and/or secondary suites must be located within the geographical boundary of the Town; 
  • The Applicant must have no outstanding monies owing to the Town; 
  • The Application must be received before a building permit is issued for the property; 
  • All Secondary Suites must be legal secondary suites; 
  • The incentive can be applied to a single unit or multiple units on a single property, (see attached schedules for more information); 
  • All required municipal, provincial and/or federal permits must be in place; 
  • The new residence(s) and/or secondary suites must be in full compliance with the Land Use Bylaw, as well as any statutory plan, zoning, subdivision plan, approval and conditions, Development Agreement, Safety Code Act, Alberta Building Code, Alberta Fire Code, and permits. Failure to submit all requested documents evidencing compliance by the Applicant shall result in the forfeiture of the Incentive; 
  • During the Incentive Period, all property and other taxes levied on the eligible property are to be kept current. The Incentive ceases upon the property or other taxes on the property going into arrears; 
  • If the Property is sold during the Incentive Period, the approved Residential Tax Agreement will be automatically transferred to the new registered owner; 
  • If the property has a residential and commercial split, this incentive is applied only to the assessment value associated to the residential portion. The commercial portion may be eligible through the Investment Incentive Bylaw; 
  • All utility servicing costs are the responsibility of the developer; and, 
  • If a developer is the Applicant, they must have a Town of Taber Business License.

To apply for a Residential Tax Incentive, Applicants shall provide a completed application form to the Town with the supporting documentation. Applications from previous year's developments will not be eligible for consideration. Complete applications may be considered and approved in accordance with the criteria of this Residential Tax Investment Incentive Bylaw, before construction on the qualifying Property is complete. However, the Exemption will not apply until all construction on the Property is complete and the development is inspected and approved for occupancy by a licensed building inspector.

For more information on the Residential Tax Investment Bylaw, please see the attached.

Please see the attached BYLAW NO. 16-2023 for full details.