Delinquent taxpayers owe half a million to Town

MICHAELA RODRIGUE
Nunatsiaq News

IQALUIT — Iqaluit ratepayers are hoarding $500,000 in unpaid property taxes and the Town wants to collect it.

Iqaluit officials last week published a list of local taxpayers in arrears. As of July 23, 1999, 45 property accounts were behind in their payments. In total, the Town is owed $500,194.80.

The list includes people such as Jerry Ell, the president of the Qikiqtaaluk Corp., who owes $58,768.29. Lawyer Euan MacKay owes $16,176.91 and convicted drug trafficker Claude Caza owes $5,612.09.

When contacted, Ell declined to comment on his overdue taxes.

But as Nunatsiaq News went to press this week, a town official said that Ell has arranged to repay his debt.

The list also includes a number of businesses. The Navigator Inn Ltd. owes $1,923.57; Webster Company Ltd. owes money on two accounts totalling $8,777.41; Nova Construction owes $1,767.88; three Baffin Developments Ltd. accounts owe a total of $4,359.31.

The largest amount owing on a single account is $71,871.23. The smallest amount owing is $616.39.

This year, for the first time, the Town can sell properties to recoup its losses from owed taxes. Only properties with taxes owing from 1997 may be sold this year.

Lawyers looking at seizures

But the municipality plans to use its new powers this year on applicable properties, said Bret Dykstra, Iqaluit’s director of finance.

“It’s in the solicitor’s hands right now and we will be proceeding,” Dykstra said.

Some of the people named on the list chalked their late payment of property taxes up to tough financial times. “Dollars are tight. I’m just behind until other things are paid,” said Thomas Demcheson.

Homeowner Sandy Tuft said he doesn’t dispute his tax bill and wants to pay the money. “I’m trying to contact them. I have no issue with that [bill,]” Tuft said.

“I’m going to try and pay it, but there’s no pot of money,” said property owner Johnny Kolola. Kolola predicted the Town’s new power will result in more payments.

“It will scare me into paying it, but it could take away from other bills that are just as important,” he said.

Eric Caouette, the owner of Arctic Circle Retail, said his company plans to pay its tax bill, but wants more explanation on how it was calculated.

Under the Town’s new powers, properties with taxes owing from 1998 can be put up for sale no earlier than Jan. 31, 2000.

Once a property is sold, the original owner has another 30 days to pay any late taxes and reclaim their property. Property owners also have 30 days from the day the property is sold to challenge the sale through the Supreme Court of Canada.

The Town is advising ratepayers to come in and work out a repayment schedule, Dykstra said.

Property owners who are behind on their payments are charged 1.67 per cent interest per month, or 22 per cent each year.

Property owners who are behind in their payments must pay their taxes, interest, penalties and the Town’s collection costs to avoid a sale.