Sir, – Your comparative piece on property tax (Home News, September 4th) highlights the wide range of options available to the Government.
While many voices seem to object to the use of market value for the purposes of calculating individual property tax liabilities, it is interesting to note that the system in use in South Africa, which is also based on market value, requires that a list of all properties in a local authority be updated and published annually, showing details of the property, latest valuation and name of the owner. A period is then allowed for owners to inspect and, if necessary, to object to the value attributed to their property. A separate list must also be published that shows all properties that are subject to an exemption from property tax, including the reason for the exemption. This keeps the valuation process completely transparent.
It is also up to the owner to pay the annual property tax, but to improve collectability, the relevant legislation includes provisions which allow the local authority to collect amounts owed to them from occupiers of the property or agents of the owner.
Whichever approach the Government opts for, one would hope that any property taxes paid will be ringfenced for use by the relevant local authority, rather than disappearing into a national slush fund. How else can residents expect continued service delivery and development within their community, or more importantly, hold their local authority accountable by encouraging efficient local government? – Yours, etc,