A shock City report has found the view tax will save the majority of ratepayers paying bigger bills
Gold Coast homeowners in the suburbs were paying $400 more in their $1800-plus rate bills than penthouses owners living with a view of Surfers Paradise, a new report reveals.
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Gold Coast homeowners in the suburbs were paying $400 more in their $1800-plus rate bills than penthouses owners living with a view of Surfers Paradise, a new report reveals.
The City research, which will fuel a war with View Tax opponents, is to be debated by councillors at a full council meeting on Friday.
The Bulletin can reveal the data shows the council is not making any extra revenue from the View Tax.
If the changes were not made, 96 per cent of properties would have been paying higher rates.
A graphic in the City report shows a Benowa property, worth about $1.5 million, was charged $1848 in rates under the previous system compared to a similar priced level 61 unit at Surfers Paradise hit with a $1223 bill.
The key findings are:
* No “extra” revenue was raised from the change. It resulted in a redistribution of revenue across the rate base.
* If the changes had not been made to the general rating categories 96 per cent of properties across the City would have experienced higher general rate increases.
* The adopted rating structure was implemented to ensure units pay a “meaningful and fair contribution” through general rates using the “shared” valuations.
* About 12,200 properties, or four per cent of all ratepayers across the City, were affected by the change.
* When considering the increases in dollar terms, the changes have resulted in an increase of between $3.20 per week for those on levels 5 to 10, up to a maximum of $13 per week for properties located above level 40 (97 properties across the City received the maximum increase).
Officers said the changes had been “extensively tested for fairness and equity” by referencing market valuation comparisons for units and homes.
Their recommendation to councillors, on the back of petitions from numerous high rise body corporates asking for a review, is for no change to the reforms introduced.
But they recommended better communications by the City to ratepayers after the adoption of Council’s annual budget.
Mayor Tom Tate has fobbed off personal criticisms by the View Tax Action group which put out a social media video comparing him to French emperor Napoleon Bonaparte.
“They have freedom of speech. If they think I’m good looking like Napoleon, that’s up to them,” he said.
The council meeting would be open session and look at “fairness and equity”.
Mr Tate acknowledged suburban homeowners were being hit harder for rates under the previous system.
“They should be paying the same council rates. Council will vote on that,” he said.