Council rates

Hi everyone,

I have received a letter from council with the new valuation for my house and this valuation is gonna be valid for the next two years. I believe that valuation is a bit too high. from the memory council valuation is not even close to the actual price of the house as I seen up to 250k difference with actual price referring to the section 32 of properties that I inspected.
I am going to request council to revise their valuation as the current valuation is very close to the actual price of the property.
According to the council valuation my property price increased by more than 20% in last two years when they did the previous valuation.

Do you have any experience with similar matters or any advise to reduce the property price for rate purposes?

Thanks,

 

Many years ago I challenged a valuation, but that was because they had the property listed as 3x2BR units, when they were actually 4x1BR. Was just a matter of filling out some forms.

 

Wh

Which Council?

 

Again, not sure which state you are in, but here is an article published by Creevey Russell Lawyers in Brisbane (10/3/16) you might find of interest

The Queensland Valuer-General as of the 2nd March 2016 commenced issuing statutory land valuations (land valuations) to land owners. The new land valuations will be effective from 30 June 2016 and is the basis for determining the land owner’s liability for land tax, local government rates and land rental for leasehold land.

In addition to other factors as outlined in the Land Valuation Act 2010 (the Act) the Valuer-General will determine the value of rural land and non-rural land as follows:-

· The Unimproved Value for Rural Land will be determined by the Valuer-General based on a bona fide sale that excludes both Site Improvements and Non-Site improvements on the land; and

· The Site Value for Non-Rural Land will be determined by the Valuer-General based on a bona fide sale that includes only the Site Improvements to the land.

For the purposes of the Act Non-Site improvements includes work done, including materials used, to the property that is not considered Site Improvements. Site Improvements include clearing vegetation on the land, improving soil fertility or soil structure, works to manage or remedy contamination, underground drainage or other works necessary to prepare the land for development.

If land owners are not satisfied with their land valuation then the Act allows for land owners to lodge an objection with the Department of Natural Resources and Mines (‘DNRM’), provided the land owner:-

· supplies sufficient information to demonstrate that the valuation is incorrect; and

· includes all relevant information as required by the Act; and

· submits their objection within 60 days from the date of issue of the valuation notice.

Land owners must have ‘acceptable grounds’ when lodging an objection with DNRM. The Valuer-General will be more likely to consider objections if the landowner has not based their objection on unsubstantiated and general statements. The Valuer-General considers sales evidence, the constraint on the use of land and the physical characteristics of the land as some examples that would be considered as ‘acceptable grounds’ to object.

It is recommend that landowners lodge their objections prior to the deadline as extensions will only be granted by DNRM in extraordinary circumstances.

Another factor land owners should consider is the impact of their land tax liabilities to the State Government. Land owners in Queensland are liable to pay land tax should the total taxable value of land be in excess of the tax free threshold of $350,000.00 for Companies, Trustees and Absentees or $600,000 for Individuals. There are exemptions that land owners can claim depending on the legal entity that owns the land, including but not limited to, home and transitional home exemption, primary production exemption and charitable institution exemptions.

If you require advice in relation to your recent land valuation notice or if you are considering acquiring land or making changes to the ownership of your land Creevey Russell lawyers would be pleased to assist to ensure your ongoing tax liabilities are managed.

Cameron Hagan
Creevey Russell Lawyers
07 4617 8777

 

Does OSR valuation =council ?
If you challenge council and won, does the valuation in OSR system get changed, since OSR makes the determination here?

 

My rates notices arrived today. The valuation has gone up - I paid $565,000 three years ago and the valuation (improved) is $740,000

That means the rates have increased.

However, I don't mind - after all someone has to pay for roads, rubbish collection, libraries, parks and all the other services that make this a good place to live.