Property tax reliance refers to how heavily municipalities depend on property taxes compared to other revenue sources. Canadian municipalities are often criticized for excessive property tax reliance, with property taxes typically providing 40-60% of municipal revenue. This creates challenges because property tax doesn't grow automatically with the economy like income or sales taxes, property values don't reflect property owners' ability to pay, and municipalities must continually raise rates to fund growing needs. Municipal associations advocate for broader revenue tools like portions of income or sales tax to reduce property tax reliance and provide more sustainable funding.