Properties belonging to the Government of Alberta are exempt from municipal taxation. To account for this, municipalities are paid a grant in place of taxes (GIPOT) on eligible properties within their boundaries. This is a discretionary grant program and not a tax payment.
This payment acknowledges that the province benefits from municipal services provided to these properties, such as roadwork, snow clearing, transit, and emergency services.
The 2022-23 budget is $30 million.
The province has reduced GIPOT payments for most eligible properties by 25% in 2019-20 and 50% in 2020-21. For 2022-23, GIPOT payments for most eligible properties will continue to be paid at 50% of the eligible amount.
The recent GIPOT funding reduction was necessary to help the government reduce operating spending, while still providing a portion of the grant to contribute to the cost of municipal services provided to government properties.
Connect with the GIPOT program:
Grants and Education Property Tax Branch
Alberta Municipal Affairs
15th Floor, Commerce Place
10155 102 Street
Edmonton, Alberta T5J 4L4