Introduction to Property Taxation (CEV 1010)

Front

What is an Assessment Rate?

Back

It is a local government tax levied on property owners, calculated based on the annual or improved value of the property.

Front

What is the maximum percentage for Assessment Rates according to Section 127 of the LGA?

Back

35% of the annual value or 5% of the improved value, as applicable.

Front

What is the definition of 'Rateable Properties'?

Back

Rateable properties are defined as any land held under a separate document of title, including buildings and common property in subdivided buildings.

Front

What is the difference between Annual Value and Improved Value?

Back

Annual Value is the rental value a property can be let for from year to year, while Improved Value is the market value of the property.

Front

What are the grounds for objections to the Valuation List?

Back

Objections can be made if the property is overvalued, not rateable, omitted from the list, undervalued, or incorrectly valued.

Front

What exemptions exist under Section 134 of the LGA?

Back

Exemptions apply to properties used exclusively for public worship, burial grounds, public schools, and charitable purposes.

Front

What is the 'Rebus Sic Stantibus' principle in property assessment?

Back

This principle states that the holding is assessed as it stands and as used and occupied at the time of assessment.

Front

What does the 'Hypothetical Tenancy Principle' entail?

Back

It assumes that rateable properties are vacant and to let, with the rental value based on current market rent.

Front

What is the 'Tone of The List'?

Back

It refers to the level of values established in a rating list, determined by the local authority on a specific date. It is taken as the date of valuation for the assessment.

Front

What is the role of the local authority in property taxation?

Back

The local authority is responsible for valuing properties, preparing the Valuation List, and collecting rates.