A recommendation on repealing the L-N-G tax concession could go before Common Council by this Monday according to Councillor Gerry Lowe. He remains in favour of repeal and believes most of his fellow councillors will be as well. The last vote was 7-2 in favour with one abstention.
The province has made it clear to the city, if there are any negative financial ramifications, it won’t be the provincial government that will lose any revenue.
The L-N-G terminal is currently assessed at a value of almost 300 million dollars. Taxes to the city would exceed $8 million a year if the concession is repealed based on the property’s current assessment.
The property tax has been frozen for the past ten years at half a million dollars annually. If the tax concession is repealed, Irving Oil then could appeal the tax assessment.
