Brisbane Council Rate Account & Services Establishment Fee

[Davothegreat]

Received the first rates notice for our Brisbane IP today which settled back in August. The *******s are slugging us a fee called:

Brisbane City Council Miscellaneous Charges
Rate Account And Services Establishment Fee - $177

Apparently this fee came into effect on 1st July 2014 and applies to all properties when ownership is transferred (unless no money is involved or you inherit the place).

http://www.brisbane.qld.gov.au/about-council/council-information-rates/rates-payments/change-details

Thanks a lot, Brisbane Council. We've only known each other for 2 months and I already despise you.

So remember to budget an extra $177 for your first rates notice after you buy that next IP in Brisbane.



Cheers,
Dave

 

[wylie]

There has been a hefty charge for a number of years for changing the records (or something equally lame) when a property is transferred, and it comes with the first rates notice.

I don't think this charge is new, but happy to be corrected.

 

[beachgurl]

I was overjoyed to get mine too. Especially when also hit with the Category 7 ownership levy as am a moneybags investor.

 

[JDM]

There has been a hefty charge for a number of years for changing the records (or something equally lame) when a property is transferred, and it comes with the first rates notice.

I don't think this charge is new, but happy to be corrected.

You are correct. The charge is not new (although the current name for it may be), however has increased quite heavily in the last few years.

 

[cu@thetop]

You are correct. The charge is not new (although the current name for it may be), however has increased quite heavily in the last few years.

Used to be $200.00 back in the day unless 1st PPOR or inheritance. Had a client dispute it once- as BCC like to roll it in with the rates and technically it isn't (or wasn't back then). Unpaid rates allow the Council powers of sale which a standard non rate debt does not give them.

 

[JDM]

Used to be $200.00 back in the day unless 1st PPOR or inheritance. Had a client dispute it once- as BCC like to roll it in with the rates and technically it isn't (or wasn't back then). Unpaid rates allow the Council powers of sale which a standard non rate debt does not give them.

I take it this was quite a while ago. I remember it being around the $130 mark a few years ago then gradually creeping up from there.

 

[cu@thetop]

I take it this was quite a while ago. I remember it being around the $130 mark a few years ago then gradually creeping up from there.

Yeah- it was mid 90s I think- I'm not sure if Campbell Newman or the Ralph report lowered it for a bit and then it is on its way up again! Can't fight City Hall.

 

[Peterw]

As a brisbanite, thanks for the contribution to our city ...

 

[C-mac]

I too got slugged with this when I purchased in Brisbane though my settlement was just prior to Jul 1st, so I don't think it is a new charge.

Re: the higher fee structure for investors, I've been fighting thisin the media and on my blog. Margaret Lomas has been very vocal about this and I believe there are cases being put forward in QLD courts regarding this.

I'd wrote formal letters of complaint but never pyraued any legal action, kinda a david vs Goliath thing. Utterly ridiculous and unjustifiable. It is actually discrimation through and through.

 

[Ed Barton]

It is actually discrimation through and through.

Discrimination? LMAO!

 

[ZachAnSel]

Yes it is discrimination...

http://www.apimagazine.com.au/blog/2014/06/why-do-investors-pay-more-for-council-rates/

 

[vbplease]

From the council website

General rates are calculated for each property based on land valuations and rating categories. Other charges may also appear on your rate account, including levies and waste management charges.

General rates include services such as:
?roads, bridges, kerbing and channelling and parks and gardens
?immunisation
?libraries and community activities
?free trees
?pest eradication

The landlord doesn't benefit from these services anywhere near as much as the tenant.. why the landlord pays at all seems wrong to me. The fact they pay more than the owner occupier is even more wrong.

 

[Ed Barton]

Yes it is discrimination...

http://www.apimagazine.com.au/blog/2014/06/why-do-investors-pay-more-for-council-rates/

You have no idea what discrimination is.

 

[travelbug]

I was overjoyed to get mine too. Especially when also hit with the Category 7 ownership levy as am a moneybags investor.

What's the Category 7 levy? Who does it apply too? How m uch is it?

Sorry for all the questions.

 

[Vanillascent]

I am a first home owner - bought my first place August 15th 2014. Submitted the fee exemption form based on my first home owner status the day I settled (15th August)... Still waiting for it to be applied. What's the point? First home owners (particularly single income ones like me) are more in need of the relief right away after purchasing a home. Not 2.5+ months later.