Base Date use – Why do we only use every third valuation

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  • #21478
    Dallas McConnell
    Participant

      Wollongong

      Hi All,

      I got asked the question today and had a sheepish moment of responding in local government talk of “thats just how it is” and realised I couldnt pinpoint the legislation I needed to back me up.

      The question I got asked was why do we get supplied valuations from the VG’s each year, but only use every third one for rating purposes. I had a look through LG Act, Regs, Valuation of land Act, revenue raising manual and the VG website without finding a definitive answer.

      The VG website advised the below, but didnt link me back to any legislation to back it up.

      The Valuer General gives councils new land values at least every three years.
      The following schedule shows when the Valuer General determines land values and when councils start using them for rating (a year later). Most councils will use 1 July 2016 land values for rating until July 2020.

      Our revenue policy has the following sentence “Council rates are calculated on the valuations as at 1 July 2019 for 2021-2022.”,

      Any guidance would be greatly appreciated.

      Cheers Dallas

      #21479
      Robert Hay
      Participant

        The Hills

        Hi Dallas

        VALUATION OF LAND ACT 1916 – SECT 48
        Furnishing valuation lists to authorities
        48 Furnishing valuation lists to authorities
        (1) Each rating or taxing authority is to be given a list (referred to in this Act as a
        “valuation list” ) containing such of the information entered in the Register as relates to land within the authority’s area.
        (2) Valuation lists are to be furnished to each such authority–
        (a) in the case of a list to be furnished to the Chief Commissioner of State Revenue, before 31 December in each year, and
        (b) in the case of a list to be furnished to any other authority, at least once every 3 years.

        Hope this helps

        #21480
        Dallas McConnell
        Participant

          Wollongong

          Hi Robert,

          Perfect thanks! In reading that i assume some councils may update each year as it just says they will provide at least once every 3 years but no direction given we are supplied each year. I cant say too much but we have a legal case underfoot and will be interesting to see if they give a determination especially if a ratepayer benefit when valuation is reduced but not affecting a base date year.

          Regards,
          Dallas

          #21483
          Robert Hay
          Participant

            The Hills

            Hi Dallas

            No, Council’s cannot request a GVal each year the decision to provide a GVal is made by the Valuer General.

            The perfect example of that was when the VG moved all Council’s to a common base date of 01/07/2016 to implement the FESL irrespective of how long they has been using their current base date.

            However I believe some Council’s base dates are now out of step due to the VG deciding to give them new GVals.

            Cheers

            Robert

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