Default in Payments
Consequences of Default in Payment
Fines
If an instalment of rates is not paid on or before the date on which it falls due:
- the instalment will be regarded as being in arrears
- a fine of 2% of the amount of the instalment is payable and
- on the expiration of each full month from that date, interest at the prescribed percentage (as per Section 181(17) of the Local Government Act 1999) of the amount in arrears (including the amount of any previous unpaid fine but excluding interest from any previous month) accrues.
Please note: a 2% fine will be applied to any instalment amount not paid by the due date.
Recovery
In any case where the default in payment of rates (including instalments) occurs, Council may without further notice commence proceedings for all amounts due.
Recovery proceedings available to Council include:
- use of a debt collection service
- proceedings in any court competent jurisdiction
- an order requiring an occupier of a property to pay to Council amounts of rent otherwise payable to the owner of the property
- such other legal processes as deemed appropriate by Council
- compulsory sale of property
Sale of Land for Failure to Pay Outstanding Rates
The Local Government Act allows a Council to sell any property where rates have been in arrears for three years or more.