Hi I'm wondering when open space levy payment is required. ie: Am i best to pay open space levy (5%) of land value - asap after I have been issued planning permit. Or Do I have no choice and have to pay on issue of statement of compliance of the subdivision. My thinking being - the valuation of the land will go up in the eyes of Land Titles office, if they know a planning permit has been issued for the property - regardless of if construction has finished, let alone commenced. meaning I'll have to pay a higher levy........ OR - i guess I'm caught out regardless, as the reason for paying open space levy is due to the issuance of a planning permit - hence they may revalue on the spot to get a bigger slice of revenue....
An official valuation is done (by a qualified valuer) of the land value, you then have 12 months to pay, if you let the 12 months lapse you then get a new valuation, which will probably be higher then the first. You can't get statement of compliance until paid. You choose when you pay. See section 19 of the subdivision act 1988 (SUBDIVISION ACT 1988 - SECT 19 Valuation of land for public open space) for details about valuation. Which council is your land in? 5% of land value is the amount specified under the subdivision act (SUBDIVISION ACT 1988 - SECT 18 Council may require public open space) but is only used if no % is specified in clause 52.01 of your councils planning scheme (Home - Planning Schemes Online). The amount you pay is up for negotiation is some cases, if you are doing a smaller sub (3 lots) and your council area has little public open space requirements, then you may argue for a lower %. Not sure when is the best time to pay, a quick guess on the increase in land value - vs - your opportunity cost/or interest payment amount for the cash you use to make payment.
Is the official valuation based on me contracting a qualified valuer, or thru initial enquirries regarding paying the open space levy - that council will organise their approved qualified valuer...
Contact Council, they will organise, stops any manipulation. I believe if you dont agree to their valuation you can object.
Q. Delaying paying the open space levy, and thus delaying obtaining the statement of compliance of subdivision (I think I have upto 5 years, or maybe its 5 years to register at titles office....)..... would have no bearing on me obtaining Certificate of occupancy and getting my townhouses occupied with renters once construction is completed..... would it.... (Just as long as I comply with any other planning permit conditions, ie: landscaping certified / inspected by council etc)
