Investigation launched as petitions pile up to Gold Coast City Council on unfair tax

Council is facing a fresh challenge to its controversial ‘View Tax’, with the Queensland Ombudsman investigating the fairness of the rates rise.

Council is facing its biggest challenge yet to its controversial ‘View Tax’, with the Queensland Ombudsman now probing how the rates rise was introduced.

Owners of high rise units were slugged with rate hikes of between 10 and 50 per cent after councillors unanimously approved the change at a budget meeting in June.

However the body corporates of several super towers have launched petitions against the increases, while The Rhapsody tower in Surfers Paradise is working with the Ombudsman’s office to determine whether council acted fairly in introducing the levy.

Rhapsody Surfers North Body Corporate Committee chairman Alex Scott confirmed a complaint was made to the independent assessor, which can make recommendations to council to rectify unfair or unreasonable decisions.

“The Queensland Ombudsman’s office is currently reviewing our complaint and has requested additional information as part of the assessment process,” Mr Scott said.

Flashback to 2016: The view from Rhapsody. Photo: supplied.

Rhapsody also warned area councillor Darren Taylor that the new policy raised “significant questions about fairness, equity, and transparency” and would cause additional financial hardship to property owners across the city.

At least nine body corporates of super towers in Surfers Paradise, Broadbeach and Southport have issued petitions to the City calling on the so-called ‘View Tax’ to be reconsidered.

The first batch of complainants were from Victoria Rowers Over 50s, Atlantis East, Thornton Towers, Liberty Panorama and Atlantis West.

At the year’s final full council meeting last week, petitions were accepted from Focus Apartments, Circle on Cavill, Peninsula Apartments and Commodore Drive.

Unit owners say the reasoning by council that owners of units on higher levels should pay higher rates was fundamentally flawed.

A graphic explaining the rates hikes introduced by the Gold Coast City Council.

“It fails to consider that apartments on the same floor can have vastly different views and amenities, and that some lower-floor apartments may offer better views than those on higher floors,” Mr Scott wrote.

He told Mr Taylor that recent council development decisions would lead to an adverse outcome on property values and lifestyle for the Rhapsody complex.

“The recent development by Meriton will soon completely obstruct the view for all owners on the east and south sides of our building, from ground level up to the open air at level 41. The potential for additional levels beyond the 77 floors currently approved remains a possibility too,” he said.

“The new Meriton development will block the rooftop areas on levels 27 and 41, which provide barbecue areas, seating, and relaxation amenities for all Rhapsody owners and occupiers. This will result in a total loss of any view east, including the significant loss of sunrise views that were once enjoyed by our community.”

Division 10 Councillor Darren Taylor. Picture: Supplied.

Property owners want councillors to reconsider their decision and conduct a transparent consultation process with all stakeholders.

“Without a reconsideration of this policy, it may require a serious legal challenge to protect the rights and interests of all ratepayers,” Mr Scott said.

Mr Taylor in a response rejected suggestions that council was “taxing a view” or unfairly

targeting unit owners.

“It is a question of equity, fairness and ensuring all ratepayers pay an appropriate contribution through general rates,” he said.

“Under the previous rating structure, one single minimum general rate applied to all lots meaning a property on the 40th floor was paying the same minimum general rate as a property on the first floor. This was not a fair or equitable outcome.”

Mr Taylor said the City has made a commitment to monitor the success of the new

general rate structure over the 2024-25 financial year and consider changes to enhance

the effectiveness of the rating structure.

He has urged residents to give feedback before budget talks start in the New Year.

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