Rates Information

The Council of the Shire of Kojonup adopted its budget at the Council Meeting held 22nd July 2014, and resolved to apply the following Rates and Service Charges to all rateable properties within the Shire:

General Rates

For all rateable properties where Gross Rental Valuations are applied, within the township of Kojonup and Muradup, a rate of 14.6475 cents in the dollar with a Minimum Rate of $625.00 will apply.

For all rateable properties where Unimproved Valuations are applied, a rate of 0.8535 cents in the dollar with a Minimum Rate of $625 will apply.

Minimum Rates

Minimum rates are set at a level to ensure that affected property owners contribute an equitable and realistic level of rates to the maintenance of services provided by the Shire.

Payment of Rates – Options

Rates and rubbish charges may be paid by one of the following three options:

Option 1

To pay the total amount of rates and charges included on the rate notice in full by the 35th day after the rate notice issue. The date of rate notice issue was 25 July 2014 and the expiry of the 35th day will be 29 August 2014.

“Council is offering a 2.5% discount for full payment of rates and charges made prior to 8th August 2014”

Option 2

Payments to be made by two (2) installments as will be detailed on the Rates Notices with the following anticipated dates:

First Installment 29 August 2014
Second Installment 5 January 2015

 Option 3

Payments to be made by four (4) installments, as will be detailed on the Rate Notices with the following anticipated dates:

First Installment 29 August 2014
Second Installment 30 October 2014
Third Installment 5 January 2015
Fourth Installment 6 March 2015

Additional Charge – Installment Payers

An additional charge of $9.00 per installment (excluding 1st installment) will apply, where this option is used. This charge is required to cover administration costs.

Interest Charge – Installment

An interest charge of 5.5% per annum, reduced to a daily rate, applies to the two and four payment installment options.

Late Payment Interest Penalty

An 11% pa interest penalty, calculated on a daily basis, will apply to rates, rubbish and ESL charges where payment is received later than the due date.

Any unpaid rates and service charges will continue to accrue interest each day until such arrears are paid. Further details are contained on the back of the rate notices.

Note: Default in payment may cause Council to initiate legal action for the recovery of the total amount owing and this will incur extra charges.  If you are unable to meet payment deadlines please contact Councils Senior Finance Officer, Heather Marland, on 9831 2400 in order to make alternative payment arrangements.

Rate Payment Methods

The following convenient and cost effective options are available to ratepayers.  Please have your rates notice handy.

Payment in Person

Rates can be paid at the Shire Offices, 93 Albany Hwy Kojonup by attending during normal office hours (8:30am-4:30pm Monday-Friday). Payments by cash, cheque, credit card or debit card are acceptable. Please bring your rates notice with you.

Payment by Direct Credit/EFT

Payment can be made to the Shire of Kojonup.  Please use your assessment number and surname as the reference number for this payment.  BSB: 086-746 ACCOUNT No:  508343485

Payment by BPAY

Payment can be made by telephone and internet banking.  Biller code: 545913

Payment by Post

Cheques or money orders made payable to the Shire of Kojonup crossed “Not Negotiable” may be posted along with the bottom portion of you rates notice to Shire of Kojonup PO Box 163 Kojonup WA 6395.

Payment by Phone

Payment can be made over the phone by credit card by contacting the Shire of Kojonup on 9831 2400.

Emergency Services Levy

Included in your rates notice you will see a line item called Emergency Services Levy (ESL). The ESL is a State Government charge that the Shire of Kojonup is obliged to include on its rate notices. All ESL funds collected on behalf of the Department of Fire and Emergency Services (DFES) are sent directly to DFES.

The ESL funds Western Australia’s fire and emergency services including the provision and maintenance of buildings, vehicles, personal protective equipment, firefighting appliances, and operational consumables.

For further information, please phone 1300 136 099 or visit www.dfes.wa.gov.au

Rubbish Charges

$315 per annum for weekly collection service.

$280 per annum for Pensioners.

Rural Rubbish Bins

With the introduction last year of contractual services for waste management, the annual lease of rubbish bins for properties outside the Kojonup and Muradup townsites is no longer applicable. Therefore the Shire will no longer issue tip passes which were previously covered by the fee.

Previously issued passes will no longer be accepted at the Recycling/Transfer Station.

Pensioners and Seniors Rebates

If you hold a current Pensioner or Seniors Card, are the owner or part owner of the property and live at your property as of 1 July of the rating year, you may be eligible for a State Government rebate of up to 50% on your rates and Emergency Services Levy. In order to obtain a rebate for the current financial year you must register before the due date for payment, as shown on your rate notice.

If you are already registered as a pensioner with the Shire, you are not required to re-register unless your circumstances have changed since your last registration. You are required to notify Council in writing when you cease to be an entitled pensioner.

For further information regarding pensioner rates concessions, please contact the Councils Senior Finance Officer, Heather Marland, on 9831 2400.

General Rates Information

Rates – How are they calculated

Shire rates are calculated by multiplying a rate in the dollar (set by the Council) by your property valuation, as supplied by the Valuer General in accordance with the Valuation of Land Act 1978.

The council sets the rate in the dollar as part of each year’s budget process. It is based on the council’s expenditure requirements, both operating and capital, offset by other forms of income such as government grants and fees for service.

There are two possible bases for the valuation of your property:

GROSS RENTAL VALUES (GRV’S)

The primary definition of GRV under the Valuation of Land Act 1978 is as follows:

GRV means the gross annual rental that the land might reasonably be expected to realise if let on a tenancy from year to year upon condition that the landlord is liable for all rates, taxes and other charges thereon and the insurance and other outgoings necessary to maintain the value of the land.

A GRV is determined on the basis that the rental includes outgoings such as rates and other property expenses.

As most commercial rentals are negotiated net of outgoings these need to be added to the net rental to equate to the statutory definition.

The introduction of the Goods and Services Tax (GST) has impacted on the determination of GRV. Where property rental payments are subject to GST they represent a tax payable by the property owner and as such must be included in the Gross Rental Value.

Where an annual rental cannot reasonably be determined, then the GRV shall be the assessed value. Assessed value is defined in the Valuation of Land Act 1978 as a set percentage of capital value, currently fixed by regulation at 3%.

For example, vacant residential land for which no rental value can be determined is currently valued on the basis of 3% of its total capital value.

Land used for residential purposes only must be valued on the basis of rental value. Any other land with a relatively low rental value in comparison to its capital value may be valued as if it were vacant land.

GRV Valuation Methodology

A database of rental evidence is assembled from information obtained from property managers, owners and other sources.

A schedule of properties rented at the date of valuation is prepared for the area to be valued.

The rented properties are inspected and the rents analysed (for example deductions for furniture included in the letting).

Unsuitable lettings, such as those between related parties, are discarded so that the final list is acceptable as the basis for the determination of fair gross rentals as illustrated by actual market dealings.

From the analysis of actual rentals the fair gross rental of each property is established, after making allowances for any special features or detriments.

The GRV normally represents the annual equivalent of a fair weekly rental. For instance a GRV of $10,400 represents a weekly rental of $200.

UNIMPROVED (LAND) VALUES (UV’S)

A new UV is determined each year for all land within the State and comes into force on 30 June. UV is defined in the Valuation of Land Act 1978 and in some cases it is a statutory formula. As a broad guide the following applies:

Within a Townsite

For land situated within a townsite the UV is the site value of the land. In general, this means the value of the land as if it were vacant with no improvements except merged improvements. Merged improvements relate to improvements such as clearing, draining and filling.

Outside a Townsite

The UV of land outside a townsite is valued as if it had no improvements. In this case the land is valued as though it remains in its original, natural state, although any land degradation is taken into account.

If the UV cannot reasonably be determined on this basis, it is calculated as a percentage of the value of the land as if it had been developed to a fair district standard but not including buildings. This percentage is prescribed (where it applies) by the Valuer General from year to year and is currently 30%.

Exceptions

There are certain exceptions to the above for which the Valuation of Land Act 1978 provides statutory valuation calculations for UV based on formula, for example a fixed rate per hectare or a multiple of the annual rent.

These exceptions include Mining Tenements, leases under the Land Administration Act 1997 for the purpose of grazing, leases under agreement acts, and land held under the Conservation and Land Management Act 1984.

Strata Titles

Section 62(1) of the Strata Titles Act 1985 provides that for UV the Valuer General must value the whole of the land subject to a strata plan as a single parcel in single ownership. The rating and taxing authority is required to apportion the value in proportion to the unit entitlement, which is shown on the registered strata plan.

Section 62A(2) of the Strata Titles Act 1985 provides that each lot in a survey-strata scheme shall be valued as a separate parcel of land.

UV Valuation Methodology

Market based UVs are determined by reference to the land market at the date of valuation. All sales relevant to the predetermined date of valuation are investigated and where considered necessary, the parties interviewed.

Unsuitable sales, for example sales between related parties or those with special circumstances are discarded. By this process fair and reasonable criteria is established for the fixing of values.

Objection Against Land Valuations

A person not satisfied with the valuation on their property may lodge an objection with Landgate.

General Enquiries

Prior to lodging a formal objection, any matter relating to the valuation can be raised with the relevant valuer by phoning (08) 9429 8400 or (08) 9721 0800 for South West Shires. Many issues can be resolved without the need to lodge a formal objection.

Who May Lodge an Objection

The Valuation of Land Act makes provision for “Any person liable to pay any rate or tax assessed in respect of land who is dissatisfied with a valuation of such land made under this Act, may serve upon the Valuer General or any rating or taxing authority a written objection to the valuation”. The Act also extends the right of objection to the authorised representative of such a person.

Generally the statutory liability for the payment of a rate or tax falls to the owner. “Owner” is defined in the various rating and taxing acts. As part of the decision process in considering whether to lodge an objection, where any doubt exists as to the person liable to pay the rate or tax, reference should be made to the specific Act under which the rate or tax has been issued. Only one objection in respect of any one valuation may be made during any one period of twelve months.

Time Limit for Objections

The objection must be lodged within sixty (60) days after the issue of a rating or taxing notice (where the valuation is used as the basis for calculation of the rate or tax), or notification of the making of the valuation in the Government Gazette. While the Valuer General may, after considering the circumstances, accept objections outside this period, it is likely the matter will be treated as an informal query and appeal rights will be lost. A refusal by the Valuer General to extend time to lodge an objection may be referred to the State Administrative Tribunal (SAT) by request through the Valuer General.

Grounds for Objection

The Valuation of Land Act states that an objection may be on the grounds that a valuation is not fair or is unjust, inequitable or incorrect, whether by itself or in comparison with other valuations in force.

Invalid Grounds for Objection

Complaints or concerns about the amount of rates payable or the increase in rates or charges are not valid grounds for objection.

How to Lodge a Valid Objection

An objection can be made by letter or by filling out the Objection to Valuation form and sending to the Perth or Bunbury Office of the Valuation Services Branch of the Landgate, as appropriate. View contact details.

Interim Rates

Some ratepayers may receive amended rate accounts during the year when the Valuer General considers the value of their property has changed.  There are many reasons for issuing an interim rate account, the most frequent being:-

  • A new building
  • Improvements to an existing building
  • A demolition of buildings
  • Subdivision of land
  • Amalgamation of land
  • Requests for rubbish bins

The Shire issues an annual account for each property usually after the budget has been adopted, based on information held at 1 July. After this, if there are any changes which affect the account payable, an interim account is required to be issued.

The interim account may involve an increase or decrease in the amount payable depending on the change in valuation.  Any interim accounts are due and payable within 35 days of the date of issue and does not affect the recovery of the original account.

Please feel free to contact the Shire on (08) 9831 2400 should you have any queries with your rates.

Ownership Records

All changes of ownership or address should be notified in writing as soon as possible to the Shire Office, so that Council records may be updated.