Canada's Property Tax Solution since 1973
In the hospitality industry, realty tax is one of your LARGEST expenses – second only to wages. With high fixed costs, keeping cash flow up is tough enough without the threat of overpaying your property tax. Unfortunately, overpaying is exactly what many businesses do. We thrive on helping companies with volatile revenue streams minimize their costs.
Assessing the value of hospitality properties (hotels, motels, resorts, senior’s retirement facilities) – where guest contracts are generally SHORT term – is completely different than an office or retail property where revenue is derived from LONG term leases. Government assessors routinely predict a hospitality property's revenue based on the limited data of short leases and try to convert this into sustainable or what they call "stabilized revenue", which often overstates the potential revenue the property will achieve. Along with economic ups-and-downs, competing properties and inclement weather, the difference between the potential revenue and actual revenue of a hospitality property can be significant.
At AEC, we have a team of hospitality specialists focused on identifying and correcting these discrepancies. We are well-recognized as having the best Expert Witnesses in the industry and are more than prepared to defend our position before a tribunal. Our experts thoroughly understand the nature of your business, and the tax laws surrounding it. We use that expertise and our credibility with the tax authority to get you results and improve your bottom line.