Summary#
On October 6, 2026, Edmonton City Council approved tax forgiveness for Rhema Chapel of the Redeemed Christian Church of God. The decision cancels all municipal tax amounts and related penalties for the property’s 2023–2026 tax years; it does not cancel education tax arrears. City staff said the relief is intended to apply after the property became fully exempt from property tax.
- The forgiveness applies to Rhema’s account 4028494, the former McCauley school.
- Council approved the motion moved by K. Principe and seconded by M. Elliott, 12 to 0.
- Rhema already has an agreement with the City to pay its education tax arrears. The decision forgives the remaining municipal tax arrears.
What it means for you#
- Rhema: It no longer has to pay the municipal taxes and associated penalties covered by the decision. City staff said the outstanding balance was about $300,000, including penalties.
- Rhema and the tax sale: Staff said that without forgiveness, Rhema would need another payment agreement for the municipal arrears to avoid the property proceeding to tax sale. The decision removes those arrears, but the materials do not confirm the property’s removal from the sale list.
- Other taxpayers: City staff say tax relief is ultimately borne by other taxpayers, though they expect this decision’s effect on the overall tax rate to be minimal.
Money#
The amount forgiven is about $300,000, including penalties; the exact amount is not stated.
- The City accounts for this relief in its current tax-loss budget, which staff said could accommodate it.
- Staff warned that assessment appeals could put pressure on that budget later in the year and might require additional funding.
What is unclear#
- The exact amount of municipal taxes and penalties forgiven is not given.
- The materials do not confirm whether the property was removed from the October 28, 2026 tax sale list.
- City staff did not conduct broad public engagement on this property-specific request.
Case for#
- City staff said Rhema qualified for retroactive tax relief after the property became fully exempt, following the closure of open renovation permits.
- Staff said forgiveness would address the municipal arrears that otherwise required another payment agreement to avoid the tax sale.
- Rhema bought the former school to establish a place of worship and support community programs, including a daycare and food bank, in McCauley.
Case against#
- City staff say other taxpayers ultimately bear the cost of tax relief, even though they expect the effect on the overall tax rate to be minimal.
- The tax-loss budget can accommodate the forgiveness now, but staff warned that assessment appeals could create pressure later and require more funding.