What impact does inflation have on my property taxes?

Budget pressures are multifaceted, but inflation plays an important role. Inflation describes an increase in price levels for goods and services.

When the Town of Ponoka's costs increase due to inflation, so does the pressure to increase the municipal portion of property taxes to help offset inflationary costs and ensure continued reliable delivery of municipal services is supported.

If the amount of property taxes collected stays the same or increases at a rate below the rate of inflation that means that there are fewer dollars available to sustain existing Town services and programs, and reduced financial capacity to invest in the future of the Town.