What This Program Is
The Seniors Property Tax Deferral Program is administered by the Government of Alberta. Eligible senior homeowners can voluntarily defer all or part of their residential property taxes, including the education tax portion.
This is done through a low-interest home equity loan with the Government of Alberta. The program pays the residential property taxes directly to the municipality on the homeowner's behalf.
Loan Details
The current interest rate is 4.45%. It is reviewed, and may be adjusted, every 6 months in April and October.
Simple interest charges start on the date the program pays the property taxes to the municipality and end when the loan is repaid in full. Simple interest is only charged on the original loan amount, not on the loan plus interest.
The program registers a caveat against the land title certificate to secure the loan.
Monthly repayments are not required. The homeowner can choose to repay at any time, but the loan automatically becomes due when:
- The home is sold
- The owner is no longer a registered owner
- The home is no longer the primary residence
Eligibility
Eligibility is not based on income. To be eligible, the applicant must:
- Be 65 years of age or older (only one spouse or partner needs to be at least 65)
- Be an Alberta resident, having lived in the province for at least 3 months
- Own a residential property in Alberta that is the primary residence
- Have a minimum of 25% equity in the home
Property Eligibility
Only residential properties are eligible. The following are also considered:
- Mobile and manufactured homes on residential property owned by the senior
- Residential portions of farmland and residential portions of commercial property
If there are outstanding municipal property tax amounts from previous years, the homeowner can still apply as long as there is a minimum of 25% equity.
Registered Charges
The following charges must be removed before qualifying for a loan:
- Certificate of lis pendens (pending litigation)
- Reverse mortgage
- Maintenance enforcement
- Bankruptcy
- Foreclosure
- Consumer proposal
How to Apply
Applications can be submitted at any time of the year. However, the application must be submitted at least 30 days before the municipal property tax deadline (usually June 30) to avoid penalties.
Taxes can be deferred for up to 10 years without submitting an application each year.
Step 1: Review the information guide
Review the Seniors Property Tax Deferral Program Information Guide, Loan Application and Agreement.
Step 2: Complete the application
Complete and sign the Loan Application and Agreement. Include a copy of the municipal property tax bill.
Step 3: Send in the application
Submit by one of the following methods:
- Submit documents online
- Fax to 780-644-1810
- Mail to: Seniors Property Tax Deferral Program, PO Box 1200 STN Main, Edmonton, Alberta T5J 2M4
The Government of Alberta reserves the right to deny an application for any reason at its sole discretion.
After You Apply
Staff will review the application and may contact the applicant by phone. Written notification of eligibility will be provided. If approved, a caveat is registered on the certificate of title. Semi-annual loan statements are sent in April and October.
Loan Repayment
Monthly repayments are not required. The loan can be repaid in whole or in part at any time without penalty, but it automatically becomes fully due when the home is sold, the owner is no longer a registered owner, or the home is no longer the primary residence.
Payments apply to interest first. Once repaid in full, the caveat is discharged.
Online repayment is available through the bill payment function at Alberta Treasury Branch, Bank of Montreal, Canadian Imperial Bank of Commerce, Royal Bank, Scotia Bank, Servus Credit Union, and TD Canada Trust. Add payee "SPTDP Loan Pmt" and enter the SPTDP Account Number.
Cheque or money order payable to the Government of Alberta can be mailed to the program address. Write the Personal Health Number on the cheque.
Survivorship
When an applicant with a loan passes away, the full amount and any interest become due. However, existing loans and eligibility for future loans may continue for a surviving spouse or partner if they are 55 or older, are a registered owner, lived in the primary residence before their spouse or partner passed away, and continue to live there.
Contact
Alberta Supports Contact Centre:
- Hours: 7:30 am to 8 pm (Monday to Friday, closed statutory holidays)
- Toll free: 1-877-644-9992
- Address: Seniors Property Tax Deferral Program, PO Box 1200 STN Main, Edmonton, Alberta T5J 2M4
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