Calgary’s business community unpacking city’s proposed 4-year budget

Calgary Mayor Jyoti Gondek said council has some 'tough decisions' ahead with the potential for a discussion on the distribution of property taxes across the city.

Many Calgary businesses are waiting to learn how the city’s proposed four-year budget will impact their bottom line, as council prepares for deliberations later this month.

Several types of businesses in the city could see a property taxes increase next year, but how much more individual business owners will pay will be determined by their assessed property values.

According to John Papavacilopoulos, who owns and operates Oak and Vine Inglewood, it comes after a challenging two years of increased costs and labour challenges.

“Anytime there’s additional taxes or levies that are added on top of it, as a small business it’s difficult for us to pass it along to customers,” Papavacilopoulos told Global News.

Preliminary budget documents show a strip mall valued at $4.79 million could see an increase of 9.7 per cent on the municipal portion of its tax bill, while a neighbourhood shopping centre valued at $17.9 million would likely see a yearly increase of 14.32 per cent, or an additional $46,000.

Meanwhile, a retail business on 17 Avenue SW valued at $2.1 million in 2022 could potentially see an increase of nearly $2,000, or 5.2 per cent next year.

The preliminary budget numbers also show a non-residential building valued at $5 million would see a municipal tax increase of $4,092, or 4.58 per cent, next year.

According to those figures, property values of downtown AA class office space are also slowing rising; projected to rise nearly 13 per cent next year.