When construction value exceeds $50,000, property developers must pay a Development Cost Charge (DCC) prior to obtaining a Building Permit. These fees are used to fund capital improvements to the sewer, water, drainage, and road infrastructure and the acquisition of parkland and open spaces.
The table and chart below displays a comparison between municipalities including local tax rate, development cost charges, and municipal charges using an example of a light industrial building; 10 acres of land, 50,000 square foot building.
wdt_ID | COMMUNITY | LAND | IMPROVEMENTS | INDUSTRIAL TAX RATE | DCC RATES (Per Sq Metre) | TOTAL DCC | TOTAL MUNICIPAL CHARGES |
---|---|---|---|---|---|---|---|
1 | Chilliwack | 5,500,000 | 2,611,000 | 4.51123 | 24.49 | 113,760 | 153,097.00 |
2 | Abbotsford | 7,100,000 | 2,611,000 | 4.93451 | 58.00 | 269,419 | 317,338.00 |
3 | Maple Ridge | 8,000,000 | 2,611,000 | 7.11940 | 22.83 | 106,049 | 181,593.00 |
4 | Langley Township | 8,000,000 | 2,611,000 | 4.45330 | 109.97 | 510,827 | 558,081.00 |
5 | Delta | 9,000,000 | 2,611,000 | 4.39590 | 33.85 | 157,238 | 213,199.00 |
6 | Surrey | 9,000,000 | 2,611,000 | 2.88539 | 81.09 | 357,352 | 390,854.00 |
7 | Coquitlam | 9,000,000 | 2,611,000 | 5.95500 | 44.00 | 204,387 | 273,530.00 |
COMMUNITY |
Source: Province of British Columbia Municipal Tax Rates and Tax Burden, 2021
Business tax rates in the City of Chilliwack are less than neighbouring communities. Property tax rates are calculated by the City of Chilliwack. The City of Chilliwack also offers revitalization tax incentives.
wdt_ID | Municipality | Municipal Business Tax Rate |
---|---|---|
1 | Abbotsford | 7.1683 |
2 | Chilliwack | 5.4652 |
3 | Coquitlam | 7.3872 |
4 | Kamloops | 12.5400 |
5 | Kelowna | 6.8256 |
6 | Langley | 6.1557 |
7 | Maple Ridge | 7.1194 |
Source: Province of British Columbia Municipal Tax Rates and Tax Burden, 2021
Federal Net Tax Rate: 15%
For Canadian-controlled private corporations claiming the small business deduction, the net tax rate is 9%.
Provincial Tax Rate: 2% – 12%
The lower rate applies to the income eligible for the federal small business deduction. The higher rate applies to all other income.