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Why do you pay more rates if your home has a higher value?

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  • Why do you pay more rates if your home has a higher value?

    Hi All,

    This is something I've been thinking about recently. If you have a modest section but nice home - and from a local government (council) perspective use the same services as every other home in the street why do you cop more rates if your home is worth more?

    cheers,

    Donna
    SEARCH PropertyTalk, About PropertyTalk

    BusinessBlogs - the best business articles are found here

  • #2
    Oh, that's a good one.
    I'm in.

    True.

    Why should you pay more local tax if you don't use more local services.

    Seems unfair.

    What did you prefer? Just to be taxed on land value alone?
    Last edited by McDuck; 29-10-2020, 07:15 AM.

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    • #3
      I'd prefer the user pays system like in the UK where it's not about land or property value but the number of residents in the property using the services. They call it Poll Tax.

      cheers,

      Donna
      SEARCH PropertyTalk, About PropertyTalk

      BusinessBlogs - the best business articles are found here

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      • #4
        That would be an interesting shift.

        It might have an unintended effect on people registering to vote.
        Also figuring out who lives where might be a challenge for the council.

        There is a Samoan family up the road, with two adults and seven kids, and a few rallies often stay too.
        What would their Local tax look like, compared to now?

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        • #5
          Yeah well that too might change - maybe less overcrowding
          SEARCH PropertyTalk, About PropertyTalk

          BusinessBlogs - the best business articles are found here

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          • #6
            Didn't the Iron Lady try a poll tax back in the 90's?
            (Some say the following riots and unrest were a major contributing factor to her demise).


            The idea of USER PAYS sits central to your initial idea.
            Since the Council only gets 40% of its revenue from rates,
            would you be open paying them the whole 100%?


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            • #7
              Yeah. It's called the Council tax now and there's a lot of exemptions.

              cheers,

              Donna
              SEARCH PropertyTalk, About PropertyTalk

              BusinessBlogs - the best business articles are found here

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              • #8
                Originally posted by donna View Post
                Hi All,

                This is something I've been thinking about recently. If you have a modest section but nice home - and from a local government (council) perspective use the same services as every other home in the street why do you cop more rates if your home is worth more?

                cheers,

                Donna
                In a word: socialism. Get the bastards who can pay more.
                My blog. From personal experience.
                http://statehousinginnz.wordpress.com/

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