Married couple considers separating to challenge $1,600 increase to property tax bill

A married couple in New Brunswick who live more than 200 kilometres apart say they're considering a legal separation to reduce what they describe as an unfair property tax bill.

The problem surfaced this year after Andrea Stevens took over the deed of her parents' home on Saint John's east side.

When she opened her 2017 tax bill, it was $1,634 higher than the year before, when her mother had title to the house.  

It turned out, Stevens could not qualify for the provincial residential tax credit.

She lives in Saint John and her husband Lonnie Blackmore lives two hours away in Lakeville Corner — and under provincial regulations, legal spouses are only entitled to one credit between them.

An unorthodox marriage

Blackmore, 55, and Stevens, 53, describe themselves as an unconventional couple who are very much in love, even though they don't share an address.

"Ask me where his basil is. I have no idea. I go up there and I'm still looking through the cupboards," she says with a laugh.

Stevens says she drives to Lakeville one weekend, then Blackmore will drive down to Saint John the following weekend and then they take a weekend off.

"When we met, she was living with her parents," said Blackmore.

"They really needed her to take care of them. Unfortunately, both were in the early stages of dementia."

Stevens did live in her parents' downstairs, caring for them and hiring someone on those weekends when she left to see Blackmore.

Then her father died and her mother's health deteriorated to the point where she needed to go to a nursing home.

Stevens took ownership of the house and continues to live there while working in Saint John and tending to her ailing mother.

The separation of husband and wife is an arrangement borne of necessity, they say, but it also suits them.

"When we first met, we were both accustomed to living on our own for all our lives," said Blackmore.

"She didn't need me to iron her clothes or make her meals and vice versa."

$1,623 adds up

Stevens says it's unlikely that she and her husband will move in together any time soon.

They have considered that the extra $1,623 in annual property taxes will quickly add up.

"In 10 years time, that's $17,000.  Do I want to give that to the government or put it into RRSPs?"  said Stevens.

Now the two believe that a legal separation is the only option to correct what they feel is an unfair application of a too rigid policy.  

According to a spokesperson for Service New Brunswick, a couple can produce an affidavit of marital status to be signed in the presence of a commissioner of oaths indicating that the couple is separated.

They must also provide the addresses of where both parties are residing and attest to the fact that a reconciliation isn't likely.

"This document is attached to the second property so in the event of an audit, we have the documentation to support why this couple (who may still be married) are receiving more than one credit," wrote spokesperson Valerie Kilfoil in an email to CBC News.

Neither Blackmore nor Stevens like the option, but they feel they have to pursue it.

"Not everybody fits into a square box," said Stevens.

"We're not trying to skirt anything. We'll pay what we need to. But we shouldn't have to pay double."

Appeal denied

Stevens said she did her best to try to persuade the province that the need to maintain two separate residences is, in their case, legitimate.

"I realize our marriage is a bit unorthodox in that we have never lived together, have never lived in the same city," wrote Stevens in an appeal to Service New Brunswick.

"Nor do we share the same bank accounts or bills, etc. He lives alone in his house in Lakeville Corner and provides for himself as I do in Saint John."

Her request for an exception was rejected by the executive director of property assessment services and registries.

"I understand that you may not have a traditional marriage," wrote Charles Boulay.  

"Unfortunately, the Act precludes me from granting two residential tax credits to one married couple."

"There are other similar situations where refusals have been necessary; therefore, making an exceptions will cause inequitable treatment and unfairness."

What is the tax credit?

In New Brunswick, property owners can apply for the residential tax credit on their primary residence.

"A principal residence is where you eat and sleep most of the time," says the government's website.

"This tax credit goes against the provincial portion of your property tax. You would still have to pay all of your municipal property tax."

Applications for the credit must be completed by the owner.

Neither Stevens nor Blackmore say they saw their problem coming.

They insist that each one of them does maintain a separate home and all the expenses that go with it.

"We're married. We love each other. We don't want to get legally separated but it looks like the province of New Brunswick will force us to do so," said Blackmore.