By Danial Dzulkifly
SHAH ALAM, Jun 13 — The proposed increase in assessment tax for properties under the Subang Jaya City Council’s (MBSJ) jurisdiction, effective January next year, is the first in 32 years.
This is despite the Local Government Act 1976 detailing the need for assessment rates to be reviewed every five years or within an extended period as the state may determine.
In a written response to Selangorkini, the local council said this, as well as other factors like the rising cost of rent and value of properties, were among the reasons behind the suggested tax increment.
“Based on Section 137 of the Local Government Act, it states that a new valuation list (of all holdings not exempted from the payment of rate) shall be prepared once every five years.
“The increase in assessment tax is also due to the rise in rental cost and value of vacant land, among several factors,” it said.
Apart from these, MBSJ said the increase in the floor area of a property (asset) due to additions of and modifications to buildings and changing of properties and land title from residential to commercial also contributed to the decision.
The tax hike is also necessary to reflect the construction of new buildings on previously vacant lots.
MBSJ has kept its assessment rates for Subang Jaya (SS) and Bandar Sunway the same since 1992, while USJ, Puchong, Seri Kembangan and Serdang have not had a review since 1996.
Other municipalities in Selangor have also not increased their assessment rates for similarly long periods.
The Kajang Municipal Council (MPKj), for instance, has not increased its rates for 39 years, (since 1985), followed by the Kuala Langat Municipal Council (MPKL) for 37 years (since 1987) and Selayang Municipal Council (MPS) for 32 years (since 1992).
The Hulu Selangor Municipal Council (MPHS) has not had a review for 28 years (since 1996), while the Ampang Jaya Municipal Council (MPAJ) and Kuala Selangor Municipal Council (MPKS) have not raised rates for 27 years (since 1997).
The Shah Alam City Council (MBSA), meanwhile, has not increased its assessment tax rates for 18 years since 2006.
While the councils have proposed new tax rates, property owners can still file objections with their respective local authorities by the stipulated deadline.
The final date for objections can be checked on the relevant authorities' websites or social media. The objection dates are also included in notices sent to owners informing of the new tax rates.
So far, only MPKj has enforced new rates effective January 1 this year, albeit only at 50 per cent of the overall proposed increment. The full rates will be enforced next year.
Objection deadlines for MPS and MPAJ, meanwhile, ended on May 31, while MBSJ has not yet set a date.
The objection dates for other local authorities are as follows: MBSA by June 14; MPKL (June 24); MPKS (July 1); MPHS (July 5); Klang Royal City Council (July 16); and Petaling Jaya City Council (July 18).
