What do China, Metrolinx and Woodbine Mall have in common? They all owe Toronto over $500K, the city says

The City of Toronto is owed $39 million from its largest tax debtors according to a new report, released at a time when mayoral candidates are debating the city's challenging fiscal outlook.

The list of debtors is restricted to corporations and individuals that owe in excess of $500,000. And it includes some recognizable names including Woodbine Mall, the People's Republic of China and Metrolinx.

Councillors on the city's general government committee are expected to receive and debate the report from city staff at a meeting today.

Coun. James Pasternak, who chairs the committee, said given the city's fiscal pressures — which include a budget gap of over a billion dollars — it needs and expects everyone to pay their taxes.

"The city is cash-starved, we cannot afford to forgive or turn a blind eye to these millions of dollars in taxes," he said. "We absolutely need them for city operations for programs or for services."

The list includes 23 properties owned by corporations that owe over $37 million. Three individuals, who are not publicly named, account for the remaining balance. 

The city stresses in the report that as much as 97 per cent of city residents and businesses pay their taxes within the year they're levied. The report also outlines the efforts city staff are making to collect the funds in arrears and the details of the cases, some of which date back decades.

Cities have a number of tools at their disposal to collect tax arrears, including hiring bailiffs to enforce orders and to run tax sales of the property. To initiate a tax sale, the city must issue a notice giving the owner a year to pay the arrears in full or they forfeit the property.

While the city is owed millions, Casey Brendon, the director of revenue services, said because tax liens remain on properties even when they're sold, the city expects it will recover the money.

"It's just a question of at what point will we get paid," he said. "But it is not likely that this money is at risk of write-off or anything like that. We do expect to collect it."

Woodbine Mall Holdings Inc., which owns the Etobicoke mall, owes nearly $8.7 million in taxes, penalties and interest to the city dating back to 2017.

The city said it's tried a variety of means to collect and has now turned to a bailiff who is collecting payment directly from the mall's tenants. 

"Anything we collect from the tenants is used to offset the owners' taxes," Brendon said.

Woodbine Mall did not respond to a request for comment.