[Andrew Butcher]

Hi Nick
The manual does cause an issue due to it being so out of date. I recall during the drafting of new legislation this came up and the OLG was not of that opinion any longer. This is not helpful when trying have a consistent approach to applying postponed rates, I agree.
The legislation that passed through both houses of parliament presents a clearer position, and although the legislation has not been asented to it has been passed.
It is a difficult position to provide a difinitive solution given the conflicting advice in the Rating and Revenue Raising Manual.
The new legislation says:

591 Postponement of rates
(1) A council must, in accordance with this section, postpone the payment of rates for land in a rating year where a change in the zoning or other designation of the land under an environmental planning instrument mentioned in section 585 happens if—

(c) the rateable person making the application—
(i) occupies the land when the application is made, and
(ii) owned the land when the change happened, but did not initiate or request the change, and

The new legislation supports the ending of postponed on sale or transfer. It would be interesting to see how the courts would interpret the current situation should a matter escalate to a precedent decision.

Regards,
Andrew