Differential Rates

Statement of Rating Object and Reasons

In accordance with section 6.36 of the Local Government Act 1995 and the Council's Notice of Intention to Levy Differential Rates and Minimum Payments, the Differential Rates Statement of Rating Object and Reasons provides information detailing the objectives and reasons for those proposals and is provided below.

Rates are a tax levied on all rateable properties within the boundaries of the Town of Cottesloe in accordance with the Local Government Act 1995.

The overall objective of rates in the Budget is to provide for the net funding requirements of the Town’s services, activities, financing costs and the current and future capital requirements of the Town, after taking into account all other forms of revenue.

The formulation of a rating system is about achieving a means by which Council can raise sufficient revenue to pay for the services it provides. Throughout Australia, the basis of using property valuations has been found to be the most appropriate means of achieving rating equity; however, the achievement of a wholly equitable rating system for all properties, in all areas, is a difficult task if it is based on the property valuations alone. For this reason there are refinement options made available, such as differential rating, that the Town of Cottesloe has elected to use.

In Western Australia, land is valued by Landgate Valuation Services (Valuer General’s Office – a State Government Agency) and those valuations are forwarded to each Local Government.

Two types of values are calculated - Gross Rental Value (GRV) which generally applies for urban areas; and Unimproved Value which generally applies for rural land.

Statement of Rating Objects and Reasons 2024-2025

Statement of Rating Objects and Reasons 2023-2024