Clarity on municipal rates and taxes expected

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Clarity on municipal rates and taxes expected

Sabrina Dean

Mangaung residents will have a clearer picture by the end of this week on the formula that will be used to calculate new municipal rates and taxes due to be implemented from 1 July. This is according to the DA’s Rossouw Botes. He said the new formula is set to be revealed during the tabling of the Mangaung Metropolitan Municipality (MMM) 2013/2014 budget at the Bram Fischer Building in Bloemfontein on Thursday 28 March.  He said the DA has been inundated with complaints from residents and businesses over the values assigned to their properties. Botes said many of the values assigned are allegedly much higher than market value or have increased significantly from the last valuation.

One such discrepancy was noted by Mediclinic Bloemfontein, which told Bloemfontein Courant the value attached to its premises was 589% higher than previously. Carel Bührmann, Chairperson of the Body Corporate of Mediclinic Bloemfontein, said they lodged an appeal with the MMM on Friday 15 March and are now waiting for feedback. He said if the rates and taxes are calculated according to the same formula as previously, they could expect to pay up to 600% more per month. Bührmann said although Mediclinic will never compromise on patient care, this would have serious budget consequences for them. Questions were also raised about why the municipality had only made the valuation roll available on its website and not sent out notices of new property values to respective property owners. However, Botes said an official told him the notices should all have been sent by this week.

Municipal spokesman Qondile Khedama also confirmed that all notices should have been sent by the end of the month. He said: “The municipality has over the last two weeks mailed a number of letters to the community, there is an arrangement with post office to mail out all the letters by the due date of 1 April 2013.” Procedures laid out by Section 49 (1) (c) of the Municipal Property Rates Act require individual notices, as well as the procedures for objections, to be sent to each individual property owner. Botes said objection forms are available at the municipal offices. “We really advise property owners to hand their objection forms in at the municipal offices, where they will be given a receipt to confirm their submission,” he said.

He said there are different forms for residential property owners, smallholdings and business premises. Botes said there is no cost involved with the objection process and is urging property owners to take advantage of their right to lodge objections if necessary.
Khedama meanwhile told Bloemfontein Courant there is still enough time for residents to lodge objections. He said the community has until 30 April to lodge their objections.  “The objections will be responded to in writing. Appeals may also be lodged by the community if they are not happy with the responses from the municipality,” he said.

Khedama said appeals are handled by the Valuation Appeal Board.  Khedama said the municipality itself is also objecting to a few properties that have been valued higher than they should. He says these properties will be addressed by the supplementary roll to be implemented simultaneously with the valuation roll by 1 July 2013. “This is not extraordinary as both the owners and the municipality have the right to object the values by the valuer,” he said.

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