Sask. RMs brace for commercial revenue shortage, tax increase likely

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Sask. RMs brace for commercial revenue shortage, tax increase likely
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A provincial government tax change will result in some RMs being short millions in commercial revenue, forcing them to make tough decisions.

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RMs had been allowed to tax at a ratio of nine to one, but the government has changed that ratio to seven to one. Article content According to the Saskatchewan Association of Rural Municipalities , 21 RMs are affected by the changes. A Government Relations Ministry spokesperson said the changes were implemented to “improve tax fairness” and that it “considers the use of all local tax tools and their effect on a municipality’s property tax distribution.”Larry Lundquist, the reeve of Eldon, said he believes oil and gas groups had been lobbying the province to change the ratio so they could pay fewer taxes.

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