Page 2121 - Week 07 - Thursday, 16 June 1994
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believe that the situation would have changed much. The table shows that the ACT is slightly below the States and Territories average for rates. Considering the level of amenity we enjoy here, being able to set our rates just below the average of all States and Territories is a pretty good achievement. You must bear in mind also that in some other States and Territories ratepayers are subject to additional charges. For example, domestic waste disposal is an additional levy in many areas, and there are other small changes like that that apply across the board. So, overall, we are not by any means on the high side of rating, and when you consider the services we get here I think that is a pretty good deal.
The other broad comment I want to make is that, when people receive their rates bill, they do have some rights. One of those rights is to appeal against the valuation. I know that it has been the case in years gone by that many people have appealed against their valuations, and many people have won. That is a right that should not be downplayed. For other people in our community, particularly those who are less well off, there are forms of assistance available in meeting the rates bill. Pensioners are entitled to a concession, which remains at 50 per cent. That is a generous concession. As members know, I have decided not to go ahead with capping that concession, so all pensioners are now entitled to that 50 per cent concession on their rates. We also have provisions for people to defer all or part of their rates. People who are pensioners can do that. People who are suffering hardship can do that as well. As Mr Moore pointed out, if people take advantage of the deferral scheme it is most likely that the capital gain on their property will far outstrip the accumulating rates liability. So, when the time comes for them to sell and move to, say, a retirement village or if they die and the property is passed to their estate, the gain they will have had on the property will far outstrip any debt they may feel they are leaving behind.
As I said earlier, I will be asking the Council on the Ageing to assist by conducting a publicity campaign about rates deferral amongst the older people in our community. I do feel for those older people who are living in areas where the unimproved capital value has risen quite steeply, and I accept that they have particular difficulties. For all of us, the rates bill is probably the biggest single household bill we will get in the year. It is a struggle for many people, particularly for pensioners, and there is assistance available.
Mr Kaine made some comments about the differential in residential and commercial rating and the fact that our commercial UCVs have fallen while residentials have risen. In a couple of successive budget deliberations it has crossed my mind that we should make some adjustment there, that it may not be fair for commercial ratepayers to be reaping the rewards of a fall in the property market while residential ratepayers continue to pay increased rates. However, I have decided not to do anything about that, for a couple of reasons. Firstly, the commercial ratepayers, for the most part, also pay land tax. In addition, we did not reverse the situation when commercial UCVs were on the increase. They were not offered relief, and now that their UCVs are falling there is an argument about fairness and about their being penalised to the benefit of residential ratepayers. So there is an argument there, and it can be debated. As I said, I have considered it in the last couple of budgets and have decided not to do anything about it.
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