89761
Description
Flashcards by Maria O'Dempsey, updated more than 1 year ago
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Created by Maria O'Dempsey
almost 11 years ago
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| Question | Answer |
| Regional Rate | -Set by central gov't -Set tax -Pays for education, social services, roads & planning at regional level -Before reevaluation in '96 covered both non/domestic -Domestic regional rate subsidised by Domestic Rate Aid Grant -Executive calculates level of revenue required in relation to level of spending needed to fund public services; offset by assessment of reasonable burden upon rate payer -Regional rate funded by Departmental Expenditure limit & non-domestic water charges worth £40m per year |
| District Rate | -Annual by local Councillors to pay for services not covered by regional rate, varies from council to council -65% council income (12% General exchequer, 23% by specific grants, fees & other charges) -As central gov't grants decrease, councils will have to significantly increase the district rate to make up the shortfall |
| How are rates calculated? | -1 Apr '07 Land & Property Services est. as executive agency w/in Dept of Finance & Personnel for NI -Announced in Mar '06; est initially from merger of former Rate Collection Agency & the Valuation & Lands Agency -Followed by Land Registers of NI & Ordnance Survey of NI from Apr '08 -LR & OS were separate before Apr '08 |
| What do rates pay for? | -Regional services; health service/education -District rate; services provided by district councils; leisure services, rubbish collections, building control & environmental health -Dept of Finance & Personnel sets level of rates per year -District council decides how much to raise from its district each year |
| Why has the system changed? | -30 years ago rates based on rental value of houses compared to rental value of other houses -Government believed that this was unfair |
| What Changed? | 1)Reevaluation of all properties; restore fairness & everyone pays rates in line w up-to-date value of their house 2)Rates bill is base don the capital value of the home -Rates have not really increased; high property values could see reduction, low rental price could see increase -2006/07 rates bill; date used to make sure values are consistent -Info on sale prices of houses are used in assessing this value -Assumptions are made to keep capital value fair; eg. properties have same standard of kitchen & bathroom for age, type of property & location |
| Non/Domestic Properties | DOM: Rateable capital value x total dom & reg rate NON: Net Annual Value x Total of non-dom reg & district -Mixed use housings will be assessed separately -Assessed on basis of rental value (NAV) |
| Reform of Domestic Rating System | -Routes no longer based on rental value but on market value -Current system is out of date -Not as fair (current) because far more people own -Did not take into account individual circumstances -Easier to understand how rate bill is calculated |
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