Time for a fair go on rates
Revenue generated from rates is the greatest source of income for councils, according to a Property Council report.
The report, which ranks the rates competitiveness of Melbourne, Port Phillip, Stonnington and Yarra over the last seven financial years, found that rates revenue across the four municipalities has consistently increased by between 4.3% and 6.1% per annum.
The Property Council’s Victorian Deputy Executive Director, Asher Judah, said the report confirms the importance of the State Government’s rate capping policy.
“Almost all councils have a property tax addiction problem. We are grateful the Government has acted to ease the community’s ratepayer burden.
“Our report compares the tax competitiveness of four inner city councils across commercial, retail, industrial and residential property.
““The City of Stonnington is the stand out council when it comes to commercial, retail and residential property rate competiveness.
“Stonnington uses its higher property valuation base to keep its rate regime competitive. They should be commended for that.
“Conversely, the City of Melbourne has the least competitive rates for commercial and industrial property owners.
“While its non-residential rate in the dollar has been decreasing in recent years, it remains high compared to its peers.
“We would encourage the City of Melbourne to explore further tax relief given the competitiveness of its physical neighbours.”
Media contact: Asher Judah | M 0499 841 715 | E [email protected]