Three Turner Valley businesses are getting a break on their taxes this year.
Turner Valley Town council decided last week to rescind its business tax, established in the 1990s, which applies to professional businesses that aren’t required to obtain a business license, such as doctors, dentists, chartered accountants and engineers.
Heather Thomson, Town of Turner Valley manager of legislative services, said administration deemed the business tax no longer a benefit to the Town. She said the tax brought in about $475 from the three businesses each year.
“A review of it was done and it wasn’t worth the administrative time going into it,” she said. “We weighed it against the administrative costs and it was really not a benefit to the town. We weren’t collecting enough money to make it worthwhile. The cost benefit was just found to be ineffective.”
The decision was part of Town administration reviewing and updating its bylaws, policies and procedures.
“Part of administrative duties is to review these things and determine whether they are effective or not,” Thomson said. “It’s to clean up and develop ones that are more effective and up to date.”
Thomson said the administration found the business tax, a separate levy from the Town’s property taxes, was a fee many municipalities are no longer charging professional businesses.
“I did some research to see if other communities charge it and I couldn’t find anything,” she said. “A lot of communities did it, but very few communities do it now.”
The Towns of Black Diamond and Okotoks both continue to charge a business tax to businesses not required to obtain a business license due to a professional affiliation.
Since council rescinded the business tax bylaw, notices were sent out to the affected parties, she said.
Wayne Steiger, owner of Diamond Valley Veterinary, said not having to pay the business tax is a nice break for his business.
“We pay a lot of taxes in this community,” he said. “Property taxes are very high. Any tax break for us is welcomed. Every little bit helps.”
Steiger has owned Diamond Valley Veterinary since 1993 and said he’s seen a lot of businesses leave the community over those years.
“Certainly the economic base for business in Turner Valley is not very good,” he said.
“It seems like Black Diamond is growing in businesses, but not so much in Turner Valley. We don’t have a lot of big business.”
Steiger said he prefers having a small number of businesses in the community.
“I would just assume not have any major growth here because it just adds traffic, lights and crime,” she said. “It’s a very safe community. I love living here and I like having my business here.”
