The Tasmanian Government has tabled legislation before State Parliament that aims to increase transparency and certainty for local government rates in Tasmania.

 

“It is essential that we have legislation that is unambiguous in terms of the authority that is provided to councils to raise rates,” State Minister for Local Government Bryan Green said.

 

“A major component of the Bill tabled today includes provisions that allow a council to implement a flat rating structure, through the use of an ‘averaged area rate’, but only when a council has extensively consulted with its community,”

 

“We accept that a council may judge, in certain circumstances, that imposing rates on all residences in a location equally is fair. But we would also want to make sure that councils are being open with their communities about the judgements that are being made on their behalf,”

 

Mr Green said that he did not consider that flat-rating could be reasonably applied in many areas of the State but that these judgements can most reasonably be made by councils.

 

Mr Green said that the Bill also:

 

  • introduces principle statements that rates are a tax, incorporating the principle of capacity to pay (as indicated by the value of a ratepayer’s land);
  • provides clarity in relation to use of the minimum amount payable; and
  • introduces new powers that will allow errors within rates resolutions to be remedied.

 

“There are additional transparency provisions for all councils, through the implementation of rates and charges policies that will improve understanding of the decisions made by councils,” Mr Green said.

 

A copy of the draft Bill can be found on the Parliament website at www.parliament.tas.gov.au