Rates and tax shock
Ratepayers in Greater Tzaneen Municipality area can expect rates and taxes increase of between 5,8 and 12,2 percent in the 2015/2016 financial year which starts in July.
The mayor, Dikeledi Mmetle revealed during her presentation of the preliminary budget of R1, 045 billion for the coming financial year at a special council meeting on Tuesday.
Mmetle said having taken into consideration the various factors such as income levels, unemployment and the inflation forecast, the council recommended property rates increment of 5,8%, water will go up by 6%, refuse removal will also increase by 6% while an electricity will increase by 12,2 %.
“When inflation rises, the cost of delivering services also increases, these include labour costs, maintenance costs and running cost. These factors call for an increase in user charges,” explained Mmetle.
She said the modest increase in rates and taxes will ensure that the Greater Tzaneen Municipality continues to maintain its financial position.
She urged residents to pay for services rendered by the municipality in time. “In order for this municipality to remain sustainable it is imperative that residents pay for services, revenue collection rates are improved and that we implement our revenue enhancement strategy as well as our credit control policy and by-law,” said Mmetle.
