TIPP (Tax Installment Payment Plan)
The Tax Installment Payment Plan (TIPP) is a popular program which allows you to pay your property taxes on a monthly basis instead of one payment in June. Your payment automatically comes out of your chequing account the 15th day of every month, making budgeting easier and helping you avoid the risk of penalties.
How TIPP works
The 2020 property taxes were billed in June, mailed June 22, and are due by September 30, 2020. These taxes cover the period from January 1 to December 31. If you pay through TIPP you don’t need to worry about the payment deadline or late payment penalties. Your taxes are spread over 12 months, starting January 15, with your account being paid in full after your December 15 installment.
Your installment amount is calculated by dividing your most recent annual tax levy by 12. This amount is paid through automated withdrawals from your bank account on the 15th of each month from January 1 to June 1. When you receive your annual tax bill in June your installment will be adjusted to reflect the actual tax levy, ensuring your account is paid in full by year end.
Your tax bill will show:
- The TIPP credit-to-date (reflects TIPP payments processed from January - May).
- The total tax levy (reflects total taxes for the current year - January 1 to December 31).
- The balance owing (reflects TIPP payments to be made from June to December).
- The new TIPP payment amount starting in July.
- Your new TIPP payment amount starting January of the following year.
- All installment amounts are reviewed in December to ensure a zero balance.
- TIPP automatically continues from year to year as long all TIPP payments are paid up to date.
- All installment amounts are recalculated for January 15 (this amount reflects the previous years annual taxes divided by 12).
How to join TIPP
To join the TIPP you need to:
- Fill out a TIPP application form
- Agree to the terms and conditions of the plan
- Complete and return your application no later than the return by date shown
- Include a void cheque and make your applicable initial payment by the return by date
If you own more than one property you must complete an application of each location. We only require one void cheque if all payments are to be withdrawn from the same bank account.
To cancel TIPP
Taxpayers can terminate the TIPP authorization at any time by notifying the Town of Cochrane in writing ten (10) business days prior to the next installment date. Please fill out our Cancellation Form.