Q.
As an estate agent you are invited to give an opinion in a discussion regarding legislations that give an impact to property owners. Discuss the followings:-
a) Development Charge under the Town and Country Planning Act, 1976. (10 marks)
b) Ratings under the Local Government Act 1976. (15 marks)
(25 marks, 2011 Q1)
A.
Similar question was asked in 2014 D04 Q7 - where illustration of plot ratio, plinth area was included.
TCPA impact to property owners, can refer to:
TCPA - Planning Control
TCPA - Material Change
The Town and Country Planning Act 1976, in its section 35 stipulates that State Authority and Local Government can draw out the Rules as to how a development charge be imposed on use of land and modifications to a plan which affects a change of use, density, or floor area in respect of any land so as to enhance the value of the land in the local setting.
Power to make rules
35. The State Authority may make rules for the purpose of giving effect to and carrying out the provisions of this Part or of prescribing anything that may be, or is required to be, prescribed under this Part.
Section 34 specifies the payment of development charge. S.34(1) mentions that the development charge shall be payable in a lump sum, but the local planning authority may, on application by the applicant for planning permission, permit the development charge to be paid by such number of instalments as the local planning authority consider just, with interest at the rate, not being a preferential rate, imposed by the Federation of Banks Malaysia-Singapore on loans secured on immovable property.
If payment is outstanding, the local authority can issue a notice by S.34 (2) informing him of the default and demanding the payment be made within a reasonable time to be specified in the notice.
Ref:
Town and Country Planning Act 1976 download from http://www.agc.gov.my/Akta/Vol.%204/Act%20172.pdf
b) Ratings under the Local Government Act 1976.