Hundreds of homeowners challenge rates notice and win
IF YOU think you’re paying too much in council rates, you might be right. Hundreds of people across Melbourne have successfully challenged their council rate notices — and you can too. Here’s how they did it.
Leader
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HUNDREDS of Melburnians successfully challenged their rate notice last year.
A Leader survey of 30 metropolitan councils has revealed more than 600 property owners objected to the property valuations in their rates notice for 2017-18, leading to more than 300 adjustments.
These related to estimates made in 2016 as properties were valued every two years.
With more than 71,300 rateable properties, Boroondara Council received 69 objections in 2017-18 of which 58 were successful.
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A Kingston ratepayer slashed $2000 off their rates bill after a successful challenge with similar savings made by a property owner in Port Phillip.
Some homeowners in Maribyrnong, Manningham and Hobsons Bay saved more than $1000 after objecting to their property valuation.
None of the objections resulted in a higher valuation or rates notice, although Stonnington chief executive Warren Roberts noted ratepayers generally chose to withdraw their objections in instances where an investigation resulted in a property value going up.
Councils polled by Leader advised ratepayers to raise any valuation queries with them before making a formal objection, and to do so as soon as they received their rates notice.
They also suggested ratepayers obtain an independent valuation of their property before objecting.
A formal objection must be registered with the council within two months of the date of the rate notice.
Municipal Association of Victoria president Mary Lalios said it was a ratepayer’s right to object to a property valuation if they genuinely believed it was incorrect.
She cited MAV data that less than 1 per cent of the two million property revaluations done in 2016 resulted in successful objections.
Cr Lalios said council rates and property taxes were vital for delivering key council services and infrastructure.
“Councils collect 3.6 per cent of all taxes nationally,” she said.
“Council rates help to fund more than 100 valued community services and local infrastructure worth more than $90 billion for the whole community to enjoy.”
Ratepayers Victoria spokesman Frank Sullivan encouraged people to challenge their valuation if they thought it was not right.
“Too many people just accept what’s put under their noses,” Mr Sullivan said.
Valuations are based on sales evidence and comparable properties as of January of the valuation year, for example January 2016 for the 2016-17 and 2017-18 rates periods.
As of July 1 this year they will no longer be done by councils and independent valuers with Valuer-General Victoria set to take on the role of a centralised valuations authority.
Rate notices delivered to homeowners this month will be based on 2018 valuations.