Mayor hopeful after tax ruling
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Updated: October 28, 2009 8:53 AM
The recent industrial tax case ruling against Catalyst Paper gives Kitimat hope, says mayor Joanne Monaghan.
“I’m still optimistic, but we’ll have to wait and see,” she said of the potentially precedent-setting decision in the Supreme Court.
Kitimat is facing a similar situation from Eurocan Pulp and Paper. After paying its annual taxes in full, Eurocan announced in July it was commencing legal proceedings against the District of Kitimat “in order to preserve our right to formally challenge the municipal tax increase that we believe is unreasonable.”
Catalyst Paper had gone even further, paying only a portion of its taxes owed to North Cowichan, Campbell River, Powell River and Port Alberni, before launching a court challenge of its own.
The company contended the tax rates were “unreasonable, and therefore illegal.”
Last week, however, BC Supreme Court Justice Peter Voith found against Catalyst in the case involving North Cowichan.
As for Eurocan’s position, general manager Dennis Clare told the Sentinel, “We’re monitoring the cases, but nothing has changed.”
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