The short answer is yes – but there’s more to it than that. I do think municipalities should make reasonable efforts to collect taxes that are owed. Every dollar that goes uncollected is a dollar that must be made up somewhere else or a service that may have to be reduced.
That said, I also recognize that there are times when people fall behind because they’re facing genuine financial hardship. In those situations, I think the first step should be working with residents to find a solution whenever possible.
The goal isn’t to be
punitive - it’s to be fair. Most residents pay their property taxes on time,
and they should have confidence that the municipality is doing its part to
collect what’s owed while treating people with respect and compassion.
From my own
experience, tax sales are much less common than many people realize. During the
six years I worked at the Town of Whitby, I was involved in only one tax sale.
It was an abandoned commercially zoned property that had been significantly
behind on its taxes for quite some time. Even then, the process was lengthy and
involved a considerable amount of legal work.
For municipalities
without an in-house legal department, pursuing a tax sale can also become
expensive because much of that legal work has to be contracted out. It’s an
important tool to have, but it’s not always a quick or cost-effective solution.
Good financial
management means using all of the revenue tools available, including
responsible collection of tax arrears where appropriate, before asking
taxpayers to shoulder a greater burden.