Q.
With reference to Local Government Act 1976 (As amended), explain:
(a) the steps taken by a local authority to prepare and implement a new Valuation List. (20 marks)
(b) determination of Annual Value for vacant land and building under construction. (5 marks)
(25 marks, 2016 Q2)
A.
a) the steps taken by a local authority to prepare and implement a new Valuation List
This part is 20 marks, so the question expects quite complete information as to the new valuation list.
When a new development is given approval for occupancy, the local authority will provide services like rubbish collection, drainage cleaning, street lamps which means cost of maintenance. For existing developments, every 5 years the process will be repeated to come out with the taxes that the local authority will collect for all the expenses.
So, if the new valuation will increase the rates, the owners would likely not happy with it, thus sparks the objection process. This is by making objection in writing not less than 10 days before the time fixed in Notice for a confirmed 'new valuation list'.
This objection will be heard by the valuation officer of JPPH, and alteration be made accordingly.
Then, a new assessment rate will be adopted. And, and if still the Annual Value or Improved Value is viewed way excessive, the aggrieved person can appeal to High Court.
(3) A new Valuation List which shall contain the same particulars as in subsection (1) shall be prepared and completed once every five years or within such extended period as the State Authority may determine.
Notice of new Valuation List to be published
Section 141.
(1) Where any Valuation List has been prepared or adopted under section 137 the local authority shall give notice of the same and of the place where the Valuation List or a copy thereof may be
inspected in the Gazette and by way of advertisement in two local newspapers at least one of which is in the national language.
(2) Any person claiming to be either the owner or occupier of a holding included in the Valuation List or the agent of any such person may inspect the Valuation List and make extracts therefrom without
charge.
(3) The local authority shall give notice in the same manner of a day not being less than forty-two days from the date of notification in the Gazette when the local authority will proceed to revise the
Valuation List and in all cases in which any holding is for first time valued or the valuation thereon has increased the local authority shall also give notice to the owner or occupier thereof.
Objections
Section 142.
(1) Any person aggrieved on any of the following grounds:
- (a) that any holding for which he is rateable is valued beyond its rateable value;
- (b) that any holding valued is not rateable;
- (c) that any person who, or any holding which, ought to be included in the Valuation List is omitted therefrom;
- (d) that any holding is valued below its rateable value; or
- (e) that any holding or holdings which have been jointly or separately valued ought to be valued otherwise,
may make objection in writing to the local authority at any time not less than fourteen days before the time fixed for the revision of the Valuation List.
(2) All objections shall be enquired into and the persons making them shall at such enquiry be allowed an opportunity of being heard either in person or by an authorized agent.
Confirmation of new Valuation List
Section 143.
(1) On or before the thirty-first day of December of the year preceding the year in which any Valuation List is to come into force the local authority shall, with the approval of the State Authority,
confirm such Valuation List with or without any amendment or revision and the Valuation List so confirmed shall be deemed to be the Valuation List until such time as it is superseded by another
Valuation List.
(2) The confirmed Valuation List referred to in subsection (1) shall be deposited in the office of the local authority and shall be open there during office hours to inspection by all owners and occupiers of holdings comprised therein, and a notice that it is so open to inspection stating the place of inspection shall forthwith be published.
(3) The local authority shall not be required to hear and determine all objections to the Valuation List before confirming it in accordance with subsection (1), and if any objection is not heard and determined before the Valuation List is confirmed it shall be heard and determined as soon as possible thereafter and with the like consequences as if it has been heard and determined before the
Valuation List was so confirmed, and until the objection has been heard and determined the increase in valuation or new valuation objected to shall not be deemed to be in force and the old rates shall
continue to be payable.
When there are changes (like every 5 years) the local inhabitants will be consulted for the new valuation list. This is done through the process of amendment if ground conditions have changed.
144. (1) Where by reason of—
(a) a mistake, oversight or fraud the name of any person or the particulars of any rateable holding which ought to have been inserted in or omitted from the Valuation List, has been omitted from or inserted in the Valuation List, as the case may be, or any rateable holding has been insufficiently or
excessively valued or for any other reason whatsoever any rateable holding has not been included in the Valuation List;
(b) any building erected, modified, altered, demolished or rebuilt, or other improvements made upon a rateable holding the value thereof has been increased;
(c) any building or part of a building being demolished or any other works being carried out on the rateable holding the value thereof has been decreased;
(d) any rateable holding which has been included in a joint valuation and which in the opinion of the Valuation Officer ought to have been valued separately or otherwise;
(e) the issue of any new titles in respect of any holdings;
(f) any change to the rateable holding effected by any law relating to planning as a result of which the value of the holding has been increased or decreased, the Valuation Officer may at any time amend the Valuation List accordingly and rates shall be payable in respect of the holding in question in accordance with the Valuation List so amended.
Ref:
Section 2 of Local Government Act, under Interpretation
(c) in the case of any land—
- (i) which is partially occupied or partially built upon;
- (ii) which is vacant, unoccupied or not built upon;
- (iii) with an incomplete building; or
- (iv) with a building which has been certified by the local authority to be abandoned or dilapidated or unfit for human habitation,
the annual value shall be, in the case of subparagraph (i), either the annual value as hereinbefore defined or ten per centum of the open market value thereof at the absolute discretion of the Valuation Officer, and in the case of subparagraphs (ii), (iii) and (iv) the annual value shall be ten per centum of the open market value thereof as if, in relation to subparagraphs (iii) and (iv), it were vacant land with no buildings thereon and in all cases the local authority may, with the approval of the State Authority, reduce such percentages to a minimum of five per centum;
(i) and (ii) have the answer to this question. Which is 10% of the open market value or as by rental value defined in S.2 Interpretation of Local Government Act, 1976.
“annual value” means the estimated gross annual rent at which the holding might reasonably be expected to let from year to year the landlord paying the expenses of repair, insurance, maintenance or upkeep and all public rates and taxes
Ref:
S.2 Local Government Act, 1976.