Rate notices

Your annual rate notice shows the total rates due for the current financial year. It also includes the breakdown of the charges, including:

  • General Rate
  • Stormwater Removal Service Rate
  • Waste Management Service Charge
  • Food Organics Garden Organics Service Charge
  • a one-off bin charge if a house has been erected on vacant land to cover the cost of the bin.

The annual notice also shows the Fire Service Rate. This is not a charge by the City of Hobart. The City is required to collect this revenue on behalf of the state government and it is passed onto the Tasmania Fire Service.

You will notice a levy on your rates notice for waste and resource recovery. The waste levy of $24 per household and $48 per non-residential is a State Government levy that the City of Hobart is required to collect and administer on behalf of the State Government. The levy will be used by the State Government to fund various waste management programs and projects across Tasmania.

Some properties are entitled to a rebate of one or more of these charges due to the service not being provided to the property. If this is the case the rates notice will first show the charge and then the rebate of that charge.

If you do not receive a food organics garden organics service the Food Organics Garden Organics (FOGO) Service Charge will not appear on your rates notice.

If you are entitled to a pensioner discount on your property it will be shown on your rates notice.

From 1 July 2024 the City has changed the property value it uses to calculate your rates from your Assessed Annual Value (AAV) to your Capital Value. The Capital Value of your property will be used to calculate your rates for 2024-25.

Differential Rates

A differential rating system will be used to ensure the equitable distribution of rates in the move to Capital Value rating.

This model includes a differential rate for properties used as short stay visitor accommodation and vacant residential land. The objective of these differential rates is to retain housing stock, ensure contribution to Council services from owners of residential land used for commercial short stay accommodations and encourage development of vacant land.

Your 2024-25 rates notice will be sent to you in mid-July showing how your rates have been calculated. If you don't agree with the land use showing on your rate notice, you can lodge an objection with Council.

Below are frequently asked questions (FAQs) about the Differential Rates.

FAQs

What is short stay visitor accommodation?

Short stay visitor accommodation refers to whole properties that are let out to paying guests for overnight accommodation. This may be for a very short period (one or two nights) or for extended periods (a number of weeks). The term "Short Stay" describes accommodation as being on a temporary basis, rather than longer-term residential use.

Why has Council introduced higher rates for properties used for short stay visitor accommodation?

The objective is to ensure housing stock is retained and ensure owners of residential land used for the commercial purpose of short stay visitor accommodation contribute to the provision of Council services and facilities that are associated with that commercial use e.g. economic development, tourism, communications and marketing.

Why has Council introduced higher rates for vacant – residential land?

To encourage development of vacant land for housing and other purposes, promote the development of all properties to their full potential thereby stimulating economic growth and development in all areas of the municipal area, to discourage the holding of land; and to ensure vacant land owners contribute an equitable share of the rate burden compared to other types of land owners.

Does the differential apply to all Vacant Land?

No, it only applies to properties that have been valued by the Valuer-General with a land use of vacant – residential. It does not apply to any other type of vacant land.

Does the differential apply to vacant land that is rural?

No, the higher general rate only applies to land that has been classified by the Valuer-General as vacant – residential land.

What happens if I'm not using my property as short term visitor accommodation, do I still need to pay higher rates?

Your 2024-25 rates notice will be sent to you in mid-July and will show how your rates have been calculated. If you don't agree with the use of the land showing on your rates notice you can contact Council to have the rates reviewed.

If your property is not being used for short stay visitor accommodation but instead is being rented out long-term or occupied, you will need to complete a statutory declaration application form (also titled Notice of Objection – Differential Rates) and provide evidence of how the property is being used.

More details, including a printable application form, are available on this page under the Notice of Objection - Differential Rates heading.

If I want to lodge an objection with Council about my rates notice how do I do this?

Your 2024-25 rates notice will be sent to you in mid-July 2024 and will show how your rates have been calculated. Under the Local Government Act 1993 ratepayers can object to their rates notice on the basis that the Land Use which those rates are calculated does not apply. Objections must be made in writing to the Chief Executive Officer within 21 days after receipt of the rates notice and be accompanied by a signed statutory declaration and evidence of the use of the land. A form with more information will be provided on the City's website for ease of use. Council will then consider the information provided to determine whether the standard residential general rate should apply to the 2024-25 rates rather than the varied general rate.

Objections can't be made before the rates notices are issued and Council is required to respond to your objection within 60 days after the objection is lodged with Council.

What type of evidence would Council accept as proof that my property isn't being used as short-term visitor accommodation?

The type of evidence required will depend on individual circumstances.

As an example, if the property is leased to a long-term tenant, then the commercial lease agreement may be appropriate evidence.

If the property is owner occupied then a copy of a drivers licence, showing the address, or a utility bill may be appropriate evidence.

All evidence should be accompanied by a statutory declaration application form (also titled Notice of Objection – Differential Rates), which is available from the Customer Service Centre and on this page under the Notice of Objection - Differential Rates heading.

If I object to Council about my 2024-25 rates notice, how long does it take?

Council is required to respond to your objection within 60 days after the objection is lodged with Council.

Objections must be made in writing to the Chief Executive Officer within 21 days after receipt of the rates notice and be accompanied by a signed statutory declaration and evidence of the use of the land. A form with more information will be provided on the City's website for ease of use. Council will then consider the information provided to determine whether the standard residential general rate should apply to the 2024-25 rates rather than the varied general rate. 

If I lodge an objection to my rates notice do I still need to pay the rates when they are due?

Yes, rates are due by the instalment due dates as outlined on the reverse of your annual rates notice.

Any credits resulting from a successful objection will be credited to your property or refunded to you, on request.

Do you need a permit from Council to qualify as short stay visitor accommodation?

Yes, to qualify as short stay visitor accommodation the property must have a planning permit from Council to operate the whole of the property as short stay accommodation. A planning permit is not required in two scenarios: (i) the dwelling is used by the owner or occupier as their main place of residence, and only let while the owner or occupier is on vacation or temporarily absent; or (ii) the dwelling is used by the owner or occupier as their main place of residence, and visitors are accommodated in not more than 4 bedrooms. Those properties would not be classified as Short Stay Visitor Accommodation.

Can my short stay visitor accommodation permit be rescinded?

Planning permits cannot be rescinded. There is no mechanism in the planning legislation for people to give up the rights they already have in a planning permit. There are circumstances in which a permit can be cancelled by the Council, limited to certain enforcement scenarios. In addition, a visitor accommodation permit could not be relied upon if a house is renovated to increase its capacity (e.g., visitor accommodation permit for 3 bedrooms but then a further bedroom is added), which is also not relevant for most people. 

I am in financial hardship and can't pay my rates, what should I do?

If you are experiencing financial hardship, help and support is available under the City's Financial Assistance Policy. If you are having difficulty paying your rates, please contact Council as soon as possible on 03 6238 2711, or apply online for financial hardship assistance.

To view the City of Hobart's Financial Hardship Assistance Policy or to apply online, visit our Financial Hardship Rates Relief page.