Small Business Tax Subclass
Small Business Tax Subclass initiative was led by TABIA over a number of years in support of Toronto BIAs and their members.
Toronto, alongside Ottawa, seized the Provincial government’s opportunity to introduce this subclass, and we commend the city for recognizing its significance.
Although not all-encompassing, it’s noteworthy that the program persists, with council directives to explore extending its scope.
A breakdown showing the number of properties within each BIA benefiting from the Small Business Tax Subclass, enjoying a 15% reduction in property taxes compared to their previous Commercial Property Class designation.
In 2023, of the 17,569 commercial properties within designated BIAs, 14,824 met the subclass eligibility criteria. This translates to 84% of commercial properties in BIAs falling under the small business property tax subclass, leaving 16% or 2,745 BIA properties out of this subclass.
This positive update can be shared with your members in Board meetings and AGMs, showcasing one of the BIA’s deliverables.
It’s essential to note that these reductions result from dollar shifts within the Commercial Tax Class, with businesses outside the Small Business definition absorbing the differential, primarily large commercial properties and office towers.
Learn more here: Small Business Property Tax Subclass – City of Toronto
On January 2, 2025, a list of eligible properties 
included in the Small Business subclass was made available through the City’s Open Data 
portal.
Business property owners do not need to apply for the small business subclass tax relief. However, properties that may meet the eligibility requirements for the small business subclass, and are not included on the list of eligible properties, may submit a written Request for Reconsideration.