20 March 2003 Surveys For New Tax Based On Market Values Under Way
Last December the Minister with responsibility for Finance, Ian Pearson MP, announced that the existing rating system is to be replaced by a new tax based on the market value of domestic properties.
The Review of Rating Policy, which took place last year, identified that the existing system, based on rental values dating from the late 1960s and early 1970s, was no longer understood by ratepayers and did not provide a fair way of distributing the rate burden among householders.
With most people now owning their own homes, a move from a rental-based system to one that is capital value based is recognised as being fairer and more easily understood. The revaluation is scheduled to be published in December 2005 and will come into effect on 1stApril 2006.
The Minister is still to decide on whether the new rates charges should be based on an individual discrete assessment or, whether as in Great Britain, properties should be put into different ranges of value or bands. A decision is expected soon.
Explaining how the province-wide revaluation exercise is being carried out, the Commissioner of Valuation and Chief Executive of the Valuation & Lands Agency, Mr Nigel Woods, said today:
"VLA has begun the process of inspecting recently sold houses in Northern Ireland.
"In order to accurately and fairly assess all domestic properties for revaluation, it is vital that we obtain as much information as possible about the physical characteristics of those properties at the date of sale.
"If homeowners have recently purchased a house or apartment they can expect a visit from VLA. This will usually involve a simple internal inspection of the property and on occasion a re-measurement of it, either in full or in part.
"VLA staff carry warrant cards to identify themselves and householders should request sight of this before complying with an inspection request.
"If staff visit a property and are unable to gain admittance, they will leave a calling card explaining why they called and, if necessary, requesting that the householder makes contact with them."
"The valuation of all domestic properties on a market value basis is a detailed and complex exercise and we are grateful for the co-operation of householders in helping us complete it."
NOTES TO EDITORS:
The Valuation & Lands Agency, which is an agency of the Department of Finance & Personnel, has seven district offices across Northern Ireland (details below) where staff will be happy to deal with any queries resulting from the sales inspection process. Addresses and telephone numbers are available on the VLA website at http://vla.nics.gov.uk or in the telephone directory under Department of Finance & Personnel.
