Moncton City Hall. Image: Staff photo

To help offset inflation and big increases in property assessments this year, the City of Moncton is proposing a 10.3 cent cut in residential taxes for 2023.

In an example given to Moncton City Council, finance director Jacques Doucet noted a home assessed at $300,000 last year had a tax bill of $4642.

If the assessment of the home climbed to $330,000 this year, under the proposed scenario, the tax bill would be $4766 which is an increase of $124 or 2.68 percent.

“If we had not adjusted the tax rate, that property owner would have paid $464 more or a 10 percent increase,” said Doucet.

Thanks to the province, Doucet added the non-residential tax rate will also drop next year.

“We have the same municipal tax rate, but as a commercial property, they also pay the provincial tax rate. They will benefit from a lower overall tax rate because of the provincial reductions.”

A freeze on water and sewer rates is also being proposed for next year.

The City is proposing a $188.3 million general operating budget and a $41.3 million water and sewer budget which have both increased since last year due to inflation.

Budget deliberations are being held Tuesday and Wednesday at city hall.

A Special Public Council Meeting is set for Thursday to approve the budget.