Q. What are rates?
A. Council rates are a property tax, levied on each individual property throughout the municipality. Their purpose is to support Council in providing services for the benefit of all residents. Council uses property values as the basis for calculating how much each property owner pays in rates.
Q. Who has to pay rates?
A. If you own a property in Hume, you will receive a rates notice which you are required to pay.
Q. What rates do I pay each year?
A. The amount you will need to pay will vary according to the value of your property. The rate amount payable is listed on the front of yourrate notice.
Q. Why do I pay rates?
A. Every council collects rates from residents and businesses in its municipality. Rates help fund and maintain local community facilities and services such as local roads, libraries, sporting grounds, parks and waste services. These services help Council to maintain an attractive and sustainable city, and make Hume a great place to live.
Q. Where do my rates go?
A. Money raised through rates helps Council to maintain local infrastructure and provide services to thecommunity, such as:
•Footpaths and roads
•Garbage and recycling collections
•Maternal and child health visits
•Library and community services
•Parks and landscapes
•Building and planning advice and permits
•Recreation centres
•Sporting clubs and playgrounds
•Local laws and animal control
•Support for senior citizens
•Arts and cultural services
•Festivals, events and celebrations
•Street lighting and water management
Q. Do I get a discount on my rates if I don't use all the services?
A.No. Council provides services that the whole community needs and the community shares the cost.People use different Council services at different times in their lives.
Q. Will there be a rate increase in 2016/17?
A. Yes. In 2016/17, rates will increase by an average of 2.5 per cent. Rates for the 2016/17financial year cover 1 July 2016 to 30 June 2017. They will help Council to support and build infrastructure for an increasing number of residents in Hume, so that everyone can access the types of services and facilities which are available in more established areas of Melbourne.
Q. What are the payment dates for each year?
A. Rates are levied annually, and must be paid in either four or nine instalments. The rates payment dates are shown on the front of yourrate notice. Council will send an instalment notice beforepayment is due. You should receive this in the first week of the month in whichthe instalment is due.
Q. What are the payment dates for each instalment?
A. The payment dates if paying by four instalments are:
1st instalment: 30 September 2016
2nd instalment: 30 November 2016
3rd instalment: 28 February2017
4th instalment: 31 May2017
If paying over nine instalments they are monthly from September to May.
Q. When should I expect to receive my annual notice?
A. Annual notices are mailed out each year in August.
Q. How do I pay my rates?
A. Hume City Council offers a number of paymentmethods. These are listed on the back of your rates notice and include payment:
- online through the Hume City Council website,BPay or Post billpay
- by telephone or mail*;
- through the Hume City Council app;
- in person at Council offices;
- in person at any Australia Post office; and
- bydirect debit - download the Rates Direct Debit Request form.
Note: if you pay by direct debit, payments can only be made from a savings or cheque accounts, and only when previous rate instalments have been fully paid. Direct debit payment can be made in four or nine instalments. Applications for the direct debit option close five days prior to each due date.
*If you pay by telephone, payments can be made using your credit card by calling Australia Post on 13 18 16.
*If you pay by mail, it is important to removethe bottom portion of your rate notice and forward it along with your cheque or money order. Make the cheque or money order payable to Hume City Council.
Q. Can I make a single payment?
A. No. Council no longer offers asingle payment option. If the payment of rates by either four or nine instalments is not possible you should callCouncil's Rate Department to discuss alternative payment options on9205 2200.
Q. What happens if I pay my rates late?
A. If an instalment is not paid on or before the due date, interest will accrue on the overdue amount. For the financial year 2016/17, the interest rate is9.5 percent per annum, as allowed for under the Penalty Interest Rate Act 1983.
Q. What if I have payment difficulties?
A. If you have difficulties paying your rates, contact the Council on 9205 2200 to discuss alternative payment arrangements.
Q. I hold a pension card.Do I get a discount on my rates?
A. Yes. Ratepayers who hold a 'Pensioner Concession Card' issued by Centrelink or the Department of Veterans' Affairs may receive a concession on their rates, if the address on the rate notice and the pension card is the same, and if a rebate has not been granted on another property.
An application for concession must be completed and the pension card needs tobe produced for confirmation. Please note, Health Care Cards are not accepted.
While the State Government delivers a rebate to allow this discount, Council also providesits own pensioner rebate of $34.
Q. I hold a gold card issued by the Department of Veterans' Affairs.Do I get a discount on my rates?
A. Yes. Ratepayers who hold a gold card, issued by the Department of Veterans' Affairs,thatspecifies 'War Widow' or 'TPI' are also entitled to a rate rebate on their principal place of residence.
Q. Can I change my name or property ownership?
A. Yes. All changes of name, ownership and address must be advised in writing.
Q. How do I change the mailing address for my rate notice?
A. To arrange foryour rate notice to be sent to a different address, complete aChange of Address form.We require identification documents to verify thatyou are the owner.
Q. Can I get my rate notice delivered by email?
A. Your rate notice can be sent electronically using BpayView, which can be set up in your online banking account.
Your rate notice can also be sent electronically via Australia Post’s Digital MailBox delivery system.Apply directly via the Australia Post website.
Deliveries to personal email addresses are not yet possible.
Q. I need a copy of my rate notice. Can I obtain one from Council?
A. Yes. We can mail a copy of your rate notice to you or you can collect a copy from any Council Customer Service Centre. Please bring identification with you.
Q. If I am selling my property, can I do my own conveyancing?
A. Yes. If you do your own conveyancing you may need theProperty Enquiry Application form to obtain the current rating information and other information about the property. You can use this form to obtain a Land Information Certificate or building certificates from Council.
Q. How are my rates calculated?
A. Valuers are required to assess three bases of value:
- Site Value (SV) - the market value of the land only.
- Capital Improved Value (CIV) - the total market value of the land plus buildings and other improvements.
- Net Annual Value (NAV) - the current value of a property's net annual rental. For residential properties, this is fixed at fivepercent of the Capital Improved Value.
Like most Victorian municipalities, Hume City Council usesthe Capital Improved Value (CIV)to calculate rates. CIV is the expected sum of money that might be received by the owner if the land and any existing buildings were offered for sale at a particular time.
Rate income is derived from all rateable properties in Hume by applying a formula that allocates rates according to the CIV of each property.
The CIV is determined every two years using a process governed by the Valuation of Land Act 1960 and carried out under the guidance and audit control of the Valuer General.
The next revaluation year is 2018/19.
Q. Can you provide more information regarding calculating rates?
A. In order to calculate individual rates, the total Capital Improved Valueof all rateable properties in the municipality is divided by the rate revenue required by Council as detailed in the annual budget. This produces a 'rate in the dollar', which for financial year 2016/17 is $0.0042514.
For example, an owner of a property with a CIV of $300,000 will pay $1,275.42 in rates. The calculation is: $300,000 x 0.0042514 = $1,275.42 excluding any extra waste service charges. This formula means that the higher the CIV of a property, the higher the rates for its owner.
The 'rate in the dollar' is based on Council's calculation of the total rate revenue it needs to generate to ensure that it can meet its service delivery objectives and expansion plans, whether in the delivery of new facilities or improved access to existing services.
Q. Are my rates subject to GST?
A. No.
Q. What is a valuation?
A. A valuation is an assessment of the market value of a property at a specific date. All properties in Victoria are valued on a common date. For the purposes of the 2016/17 financial year, each property has been valued as at 1 January 2016. New or changed properties are also valued as if they existed on 1 January 2016.
The general valuation establishes the value of a property relative to all other properties, whether they be residential, commercial or industrial. This determines how the total rates cost is shared -properties with higher market value attract higher rates than properties with a lesser value.
Q. When will the next valuation take effect?
A. In the 2018/19 financial year.