As part of our commitment to supporting older adults in our community, the City of St. Catharines is pleased to offer the Older Homeowner Tax Increase Deferral Program. This initiative allows eligible homeowners to defer any year-over-year increases in the City portion of their property taxes, providing financial relief for those on fixed incomes who may be impacted by rising costs.
What is the Older Homeowner Tax Increase Deferral Program?
This program enables qualifying older adult homeowners to delay payment of any increase in their City property taxes over the previous year. For example, if you apply in 2024, the program will defer any increase in the City portion of your property taxes above the 2023 amount. Deferred taxes will be subject to an interest rate of five per cent annually.
The deferred taxes represent a priority lien on the property, whether actively registered against the title or not, and are payable when the home is sold, transferred, or when the homeowner chooses to withdraw from the program.
Who is Eligible?
To qualify for the Older Homeowner Tax Increase Deferral Program, applicants must meet the following criteria:
- The property must be the principal and usual residence of all assessed owners, with the exception of an owner living elsewhere for medical or long-term care, and at least one homeowner must be age 65 or older by December 31 of the enrolment year.
- The property must be classified as residential.
- The total household income must be below the Benchmark Household Income, as defined by Statistics Canada for St. Catharines.
- The property tax account must be current prior to enrolment and remain up to date for ongoing eligibility.
- No more than one owner may be under the age of 65.
- For properties with more than one registered owner, all owners must agree to the program terms of enrollment.
- The homeowner must not be enrolled in other property tax deferral or rebate programs offered by the City or Region.
Program Features
- Deferred Amount: Any increase in the City portion of property taxes over the previous year is eligible for deferral.
- Interest Rate: A reduced interest rate of five per cent per year applies to deferred amounts, as opposed to the standard 15 per cent.
- Flexible Repayment: Deferred taxes remain unpaid until the property is sold or transferred, or until the homeowner decides to withdraw from the program.
- Lien on Property: Deferred amounts represent a priority lien on the property, whether actively registered against the title or not, but do not become due until a sale or transfer occurs.
Important Considerations
Before applying, we recommend consulting a financial advisor to understand how deferral might impact:
- Your eligibility for other tax credits, such as the Ontario Property Tax Credit or the Senior Homeowner’s Property Tax Grant.
- Any existing or future lending arrangements tied to your property.
How to Apply
Applying for the Older Homeowner Tax Increase Deferral Program is simple. Follow these steps to get started:
- Check Eligibility: Ensure you meet the program’s eligibility criteria by answering a few questions online at stcatharines.ca/TaxDeferralApply. If you are eligible, you can continue on to the application form from there.
- Submit Application: Complete the application form, including any required documentation, and submit the $50 non-refundable application fee payable to the City of St. Catharines. You can pay by cheque, cash or debit in-person at our Citizens First customer service desk on the second floor of City Hall during regular business hours. You can also deposit a cheque in the after-hours deposit box at City Hall, located at the James Street entrance. Be sure to include your property tax roll number on your cheque. Do not deposit cash.
- Approval Process: Once submitted, your application will be reviewed by the City, and you will be notified of your approval status within 60 days.
- Deferral Timing: Upon approval, the amount eligible for deferral will be applied to the final tax installment of the final tax billing for the year. If approval occurs after all taxes have been paid for the enrollment year, but prior to December 31 of that year, the amount eligible for deferral will be applied to the first installment of the interim tax billing for the following year.
Check your Eligibility and Apply:
Eligibility Check and Application Form
Frequently Asked Questions
| What is the Older Homeowner Tax Increase Deferral Program? |
| The Older Homeowner Tax Increase Deferral Program allows eligible homeowners aged 65 and older to defer any year-over-year increases in the City portion of their property taxes. This provides financial relief by delaying payment of these increases until the property is sold, transferred, or the homeowner withdraws from the program. |
| How does the program work? |
| Once enrolled, any year-over-year increases in the City portion of your property taxes will be deferred. The deferred amount will be subject to an interest rate of five per cent annually. The deferral remains in place until the home is sold, transferred, you withdraw from the program, or you choose to repay the deferred balance. |
| Who is eligible for the program? |
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To be eligible, you must meet the following criteria:
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| What is the interest rate on deferred taxes? |
| A reduced interest rate of five per cent per year applies to any deferred taxes. This rate is lower than the standard 15 per cent charged on overdue taxes. |
| How long can I defer the tax increase? |
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You can defer the increase in the City portion of your property taxes as long as you remain eligible for the program. The deferral will continue until:
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Will the deferred taxes become due immediately if I stop deferring? |
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No, the deferred taxes will only become due when the property is sold or transferred, or when you choose to repay the deferred balance. You may also make partial payments at any time without penalty. |
| How do I apply for the program? |
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You can apply for the program by following the linked button at the bottom of this page. Note that a $50 non-refundable application fee is required upon submission. Your application will be reviewed, and you will receive a response within 60 days. |
| Can I apply at any time? |
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Yes, you can apply at any point during the year. Once approved, the amount eligible for deferral will be applied to the final tax installment of the final tax billing for the year. If approval occurs after all taxes have been paid for the enrollment year, but prior to December 31 of that year, the amount eligible for deferral will be applied to the first installment of the interim tax billing for the following year. |
| What happens if I miss a tax payment? |
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To remain eligible, you must keep your property tax account current for non-deferred taxes. If your account becomes overdue, you will no longer be able to defer additional tax increases, but you will not be required to repay the deferred balance immediately. |
| How will this affect my ability to sell my home? |
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Deferred taxes represent a priority lien on your property. This means that the deferred balance will need to be paid when the property is sold or transferred. It is important to consult with a financial advisor to fully understand how the deferral might impact the sale or refinancing of your home. |
| Can I reapply if I withdraw from the program? |
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Yes, you may reapply if you withdraw from the program and later decide to re-enroll, as long as you still meet the eligibility requirements. A new application and a $50 enrolment fee will be required. |