Calgary city council finalizes large property tax increase

Calgary city councillors approved property tax rates on Wednesday. Taxes will soar by 8.1 per cent, most of which can be attributed to provincial tax hikes

Calgary homeowners will face a combined property tax hike of 8.1 per cent, with the city putting most of the blame on the Alberta government.

In formalizing this year’s tax rates on Tuesday afternoon, Mayor Jeromy Farkas said the “vast majority” of the tax jump falls on the province’s shoulders.

“We lived within our means, we spent responsibly. To see that massive increase in property taxes due to provincial government decisions, it’s extremely jarring,” Farkas said.

The residential property tax rate increase from the city was approved at 1.2 per cent, while the provincial amount climbed by 19.8 per cent.

For a typical single-family home assessed at $706,000, the municipal taxes will total $2,747 — up from $2,698 in 2025— while the provincial taxes will be $1,948, up from $1,610 in 2025.

That represents a $387 jump for the average single-family home property owner in 2026.

Condos assessed at $347,000 will pay $1,350 in municipal property taxes this year, down from $1,390 last year, and $957 in provincial property taxes, up from $829 from last year, for a combined cost of $2,308.

“It’s not really fair to Calgarians, but that being said, if we can get some money back from the province in order to be able to offset that, then it might be worthwhile in the end,” said Ward 4 Coun. DJ Kelly.

Property tax bills will be sent out by the city in May, and payments are due in June.

At council, Farkas noted the city is expecting to see a “fair share” from the “significant boon” the province has brought in due to high oil prices as the war in the Middle East drags on.

But that help from the provincial government won’t be coming in this budget cycle, the finance ministry told CTV News.

“The higher oil prices, up until April 1, go toward offsetting the 2025-2026 deficit, not the current projected $9.4 billion deficit for Budget 2026,” reads a statement from Marisa Warner, the press secretary for Alberta’s finance minister.

Warner continued by saying that even with the high oil prices throughout the last few weeks, the 2025-26 fiscal year is still projecting a deficit because of low oil prices throughout the entire year. She added a few weeks of high oil prices aren’t enough to offset an entire year.

“Regardless, surpluses aren’t a discretionary pool that can simply be reallocated on demand. They depend on sustained revenues, fiscal outcomes, and approved budget priorities within a given fiscal year,” Warner wrote.

“We look forward to seeing Farkas’s Budget 2027 submission during the 2027 Budget consultation period.”

Alberta’s 2025-26 fiscal year ended on Tuesday. Some councillors are still optimistic that potential windfall, should oil prices remain higher for a sustained period, could benefit Calgary.

“Maybe with the new higher oil prices and more income, maybe we will get the province to get us a big cheque for our water main or some other grants that’ll come in and help alleviate that tax burden,” Ward 13 Coun. Dan McLean said.