Tax Certificates
What is a Tax Certificate?
A tax certificate is a legal document issued by a municipality confirming the current status of property taxes for a specific parcel of land.
What it shows
A tax certificate typically includes:
- The legal description of the property
- The name of the registered owner(s)
- Any outstanding arrears or penalties on both taxes and utilities
- Information on local improvement charges (if applicable)
- Whether the account is on a pre-authorized payment plan
What it’s used for
Tax certificates are most commonly requested during:
- Real estate transactions (by lawyers or buyers to verify no unpaid taxes)
- Mortgage financing or refinancing
- Due diligence for property investments
Why it matters
Unpaid property taxes can become a lien against the property, meaning:
- They take priority over most other debts
- A purchaser could inherit the liability if not identified beforehand
In a municipal context
In the Town of Thorsby, the finance department issues tax certificates upon request for a fee of $26.25 (incl. GST) and certifies the tax position as of a specific date.
