Municipalities across the greater Edmonton area have finalized their tax bylaws for 2026, but depending on where you live across the region, how much more you pay this year will vary widely. Both inside and outside Edmonton's city limits, local governments are dealing with similar issues as they grapple with higher costs, pressures from tariffs, and growing infrastructure deficits.
Edmonton's Tax Increase
The municipal tax levy increase for the City of Edmonton this year is locked in at 6.9 per cent, a number higher than last year's hike and the five-year average, which are both 5.7 per cent, according to the city. For the average homeowner, this translates to an estimated $53 more per year, or roughly $774 per $100,000 of assessed value.
Parkland County's Low Increase
Parkland County is one municipality that's seeing a low tax increase this year after announcing a tax rate increase of just 0.8 per cent. But even though the county has kept its municipal tax increase down, Mayor Rod Shaigec said the county, like many others, is dealing with an infrastructure deficit and decreased funding. Shaigec said the result is that one of the county's bridges has been closed for years, and some are compromised and might need weight restrictions. "Which is a concern, because some of these bridges — it's the only direct access to individual areas in Parkland County," he said.
While rising costs have helped drive the deficit, many municipalities are also seeing less funding from the province. Shaigec said he's seen grant cuts to funding in the Local Government Fiscal Framework, and also to the Strategic Transportation Infrastructure Program. "We're trying to make sure that our taxes are maintained at a low level, despite some of the grant cuts and the increased requisitions and some of the downloading that municipalities are seeing," he said.
Significant Increases for Urban Municipalities
In Strathcona County, also home to Sherwood Park, municipal taxes are up 4.88 per cent this year, a higher increase than what the county saw in 2025 but still lower than 2024's hike of 5.87 per cent. "Some of the urban municipalities have seen relatively significant increases for 2026," said Sandeep Agrawal, a professor in the University of Alberta's School of Urban and Regional Planning. He agrees that many local governments are seeing less funding from the province in recent years, which is bringing about higher property taxes.
Agrawal also said new legislation proposed by the province could lead to property taxes becoming even higher. He said that, if passed, Bill 28 would limit some of the powers local governments have in terms of creating levies. That could end up preventing a city like Edmonton from taxing certain types of land uses, such as a vacant home tax.
Property taxes will also see an increase due to a hike in the province's education levy, which saw an increase when it amped up education spending. Overall, municipalities across the region are facing a challenging balancing act between keeping taxes low and addressing critical infrastructure needs.
