Ratepayer claims Sunshine Coast Council’s tourism levy was ‘deceptive’

A Sunshine Coast ratepayer has claimed she has lost approximately $10,000 in rates after her property was incorrectly classed as a short-term rental by the council.

A Sunshine Coast ratepayer is $10,000 out of pocket after an incorrect re-categorisation of her property meant she was overcharged for her rates. Photo: Brett Wortman / Sunshine Coast Daily

A allegedly “deceptive” categorisation of rental properties by the Sunshine Coast Council as part of a tourism levy introduced in 2015 has cost one homeowner more than $10,000 in rates she believes were incorrectly charged.

The Sunshine Coast property owner, who did not wish to be named, said she only realised the incorrect re-categorisation of her property at Alexandra Headland after listing it for sale three months ago.

“The only piece of consultation (the council) did on both occasions where they’ve unilaterally changed people’s rating categories is they’ve sent out a flyer with the paper rates, they didn’t do anything electronically, saying to check your general rating category,” she said.

“They didn’t actually reach out to the impacted people and say we have made a change on your behalf.”

She estimates she was overcharged $10,000 due to the re-categorisation of her property as “transitory use” following the introduction of the Council’s Tourism and Major Events Levy in 2015.

“It has always been long-term lease or owner-occupier,” she said.

The levy was introduced by the Sunshine Coast Council in 2015 as a way of funding tourism, marketing and major events by charging owners of holiday accommodation and short-term rentals.

It was eventually discontinued in 2018 to make way for the Transitory Accommodation ratings which meant the owners of properties categorised as transitory paid higher general rates rather than the levy.

According to the Sunshine Coast council’s 2015/16 budget, “it is the owner’s responsibility to check that all rates and charges are correct at the time of the issue of the rate notice.”

The statement in the budget goes on to say “adjustments to rates and charges levied in prior financial years will only be done in exceptional circumstances.”

According to the council if the owner had not provided a declaration telling them the property was not transitory the adjustments and back payment of overcharged rates would not be made.

The Sunshine Coast Council’s 2015/16 budget outlined the levy had raised $5.17m, and in that budget year the levy increased by 10 per cent.

The budget states “just over” 10 per cent of the region’s ratepayers contributed to the Tourism and Major Events Levy in 2015.

The Sunshine Coast Council has been contacted for comment.

Originally published as Ratepayer claims Sunshine Coast Council’s tourism levy was ‘deceptive’