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Rateable value differences in council rate and land tax

Discussion in 'General Property Chat' started by menty, 22nd Aug, 2016.

  1. menty

    menty Well-Known Member

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    Should the 2 values be the same?

    I have just received my land tax 'assessment' and my properties have been rated as follows:
    1. Land Value $507K; but on my council rates it says $377K (base date 1/7/13)
    2. Land Value $197K; but on my council rates it says $226K (base date 1/7/15)

    Why is there such a discrepancy, and should I be calling the council/ OSR to get these rates changed?
     
  2. Scott No Mates

    Scott No Mates Well-Known Member

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    Rateable value is based on the valuation issued every 3 years (refer schedule) and the land tax is calculated on the average of the last 3 years - so in the example below land tax is calculated on the 3 year rolling average so 2013-2015 = Avg $1,410k vs 2015 $2,080k

    upload_2016-8-22_23-55-35.png
    upload_2016-8-22_23-58-3.png
     
    Terry_w likes this.
  3. Cactus

    Cactus Well-Known Member

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    That's just showing off. ;)

    Nice value change over 4 years. Wonder what 2016 will be. Almost makes paying tax fun. Bahahaha.
     
  4. Scott No Mates

    Scott No Mates Well-Known Member

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    Not when the property is unleaseable and your land tax alone runs at $435/wk ($22.5k)
     
  5. Cactus

    Cactus Well-Known Member

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    Ouch. Why not leased?
     
  6. Scott No Mates

    Scott No Mates Well-Known Member

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    @Cactus - they've had semi-commercial/light industrial uses prior to rezoning but the use is now incompatible with the zoning, they're uninhabitable as houses due to the previous uses & existing use rights have lapsed.
     
  7. Cactus

    Cactus Well-Known Member

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    Would have thought that would be a valuers dream objection case. Have you considered engaging one?
     
  8. Scott No Mates

    Scott No Mates Well-Known Member

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    You're dreaming! Plenty of sales evidence over $8000/m2. Not a snowball's chance in hell of winning the argument.
     
  9. Cactus

    Cactus Well-Known Member

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    If it. Can't derive an income though then in can be discounted. If you need to spend money on it to get income etc can be taken into account.
     
  10. Sharpy

    Sharpy Member

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    Are you saying the re-zoning has increased the value of the site? If the property is still utilised as the previous use (which has a lower value of the new use/zone) you can apply for a postponement of rates.

    Your rates on the higher value will be postponed until sale of the property for a maximum of 5 years, and you'll only pay rates on the lower values