Confused about the 1/3 tax free allowance?

To those who may be confused about the references to the 1/3 tax free allowance referenced in last night’s Council discussion.  The discussion addressed the recent vote at Metro Vancouver’s board concerning ‘retroactive retirement allowances’ etc.

We posted the following information in a 2015 posting which addressed the salaries and expenses of elected members. (https://nvcityvoices.wordpress.com/2015/06/20/are-they-worth-it-council-pay-and-expenses/)

‘Expenses per Bylaw: The City pays an annual indemnity to Mayor and Council, according to the terms and amounts as outlined in the “ Council Indemnity Bylaw”, of which one-third (1/3) is paid as an allowance for expenses. 2.2. This one-third (1/3) allowance, is for incidental expenses incurred in the discharge of duty within the geographic area of the City of North Vancouver. Examples of incidental expenses include personal vehicle costs, mileage, parking, clothing, home office equipment and supplies, and entertainment costs, except as specified elsewhere in this policy. 2.3.

The two-thirds (2/3) balance of the annual indemnity covers the time required for discharge of duties and any lost business opportunity costs.’

Comment from Voices:  This bylaw may have been updated but we have to wonder why so many expenses have been charged back to the City by some elected officials that should have been covered by this Bylaw.  We understand that tax provisions have changed with the 2017 federal budget and effective January 1 2019 there will no longer be allowances.  

 

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