Rates

Rates Notice by Email

You can now receive your rates notice via email. Register here to get your rates by email.

*** NOTICE - 27 Oct 2017, 10am *** 

Please note that an earlier technical error is now cleared.

The service is fully operational.

 

When are Rates Due?

Rates paid by property owners in the North Sydney Council area are charged on an annual basis. Rate notices are sent out in July each year and may be paid in full by the due date or in instalments. Instalment notices are sent out on a quarterly basis in October, January and April. Should payment not be received for an instalment by the relevant due date, interest will accrue on a daily basis.

Pay your rates: methods to pay your rates

If you are having trouble paying your rates for any reason, please discuss this with our Financial Services Department on 9936 8100.

 

Rates Incentive Scheme

Congratulations to the five winners of this year’s ratepayers incentive scheme who will each receive a $5000 gift card. The draw took place on Monday 18 September 2017. The winners are

  • Bruce Horsfield of Kirribilli
  • Victor Leslie Egerton & Patricia Eileen Egerton of Wollstonecraft
  • Sean Alexander Suttor & Vidyut Pinge Suttor of Cremorne
  • Suzanne Patricia Bartos of Cammeray
  • Inview Pty Ltd of Sydney

 

Land Valuations

New land values are issued every three years. As Council's overall rates income is limited by rate pegging and any approved special variation to rates income, an increase (or decrease) in your land value does not necessarily mean a corresponding increase (or decrease) in your rates.

 

Categorisation of Land

All rateable land within the North Sydney local government area is categorised as either residential or business. Council decides which category your property should be in based on its dominant use. Most people are charged ordinary rates under the residential category.

Categories are important, because rates differ depending on the category of the land. For example, if your land is categorised as residential you may pay a lower rate per dollar of land value than if your land is categorised as business. In some instances when a property is a mix of residential and business use, a mixed development apportionment factor is applied.

 

Change of Address

Write to Council advising us of the change: North Sydney Council, PO Box 12, North Sydney NSW 2059, or to change the postal address on your rates notice, please use this form:

Change of Address Details (136KB)

 

Change of Name

To add or delete a name on the rates notice, you must first change your title deeds with the NSW Land Titles Office.

 

Rate Pegging and Special Rate Variations

Each year IPART approves a maximum percentage increase in the total income a council can receive from rates. This is called the 'rate-peg'. If a council identifies a program of works that requires funding over and above that of rate peg, they may apply for a Special Rate Variation (SRV) to increase general rate income. For more information refer to the IPART website.

 

Council Rates

Rates are Council's primary source of recurrent income contributing approximately 45% annually.

Rates Revenue Policy (349KB)

Rates are used to provide essential infrastructure and services such as roads, footpaths, parks, sporting fields, playgrounds, swimming pools, community centres, cycleways, public amenities and our library.

Council’s current rating structure is levied annually based on the following factors:

  • The rates category (Residential or Business)
  • The calculation method
  • The land value (Unimproved Capital Value)
  • The allowable annual increase (Rate peg% or Special Rates Variation)

Councils can choose how they calculate and distribute rates among categories of rateable properties in the council area. For each category, rates can be calculated in one of three ways. They can be based:

  1. Entirely on the land value of the property.
  2. On a combination of the land value of the property and a fixed amount per property.
  3. Entirely on the land value, but subject to a minimum amount. (Council must impose a rate per dollar [ad valorem] of land value, with a minimum amount).

North Sydney Council’s rates are calculated using option 3.

Council specifies a minimum amount of a rate to be levied on each parcel of land, the size of any minimum amount must not exceed the relevant permissible limits provided for in the Local Government Act 1993 section 548(3) and clause 126 of the Local Government (General) Regulation 2005 (Regulation). Under a rating structure with minimum rates, the ad valorem amount is calculated and then compared with the minimum amount, and the ratepayer is charged the greater amount.

The land value is determined by the Land and Property Information Division of the Department of Finance and Services on behalf of the NSW Valuer General (VG). The VG supplies land values to councils for rating every three years to use in setting rates, this ensures changes in the local property market are reflected in the councils' rates model, helping to ensure fairness and equity for ratepayers. The landholder is also issued with a Notice of Valuation to advise them of their new land value.

From 1 July 2017 all NSW councils are using the base date of 1 July 2016 land values for rating.

Fluctuations in land values do not necessarily lead to similar changes in rates. Rates depend on each council's rating structure and the limits to increases set by the Independent Pricing and Regulatory Tribunal (IPART).

The total amount of income that a council can raise from rates and charges is limited. This is called the rate peg percentage. The rate peg is determined on an annual basis. The Minister for Local Government issues an annual maximum allowable percentage increase or our case, the increase was approved via a Special Rate Variation (SRV).

North Sydney Council had an approved SRV that permitted annual increases of 5.5% over a period of 7 years, ending in 2017/18. Please note that the annual permissible increase is applied to the pool of rating revenue, not individual properties.

The process that determines individual property rate increases is based on a model that places limits on the total revenue yield for the council area, not on individual properties. Valuations on individual properties are then used to determine the spread of that increase across the Council area. After a general revaluation has been completed, as is the current situation, the new valuations are used to calculate the rates and if valuations are inconsistent across the Council area, then there can be considerable differences between individual rate increases. It should be noted that inconsistencies are generally reflective of property valuations increasing more in some areas versus others.

North Sydney Council has elected to apportion part of the annual total rates revenue to assist in funding identified infrastructure works.

Rates are levied on the following criteria:

  • Ordinary Rate (General Revenue)
  • Special Rate (Restricted Revenue)

The following rates are applicable from 1 July 2017 to 30 June 2018:

Ordinary Rates

$ Minimum

Ad Valorem Rate in $

Residential Properties

$514.00

0.090541

Business Properties

$514.00

0.453948

 

Special Rates

Infrastructure Levy

$ Base Amount (50%)

Ad Valorem Rate in $

All Rateable Properties

$22.54

0.004083

 

Environmental Levy

$ Base Amount (50%)

Ad Valorem Rate in $

All Rateable Properties

$24.84

0.004496

 

Crows Nest Mainstreet Levy

$ Base Amount (30%)

Ad Valorem Rate in $

Business Properties

$106.81

0.027816

 

Neutral Bay Mainstreet Levy

$ Base Amount (30%)

Ad Valorem Rate in $

Business Properties

$129.94

0.047327

 

Related Documents

Posted on 27 October 2017

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