The Organisation Undoing Tax Abuse is calling on municipalities countrywide to reduce property rates under the State of Disaster. TheCapeArgus
Cape Town - The Organisation Undoing Tax Abuse is calling on municipalities countrywide to reduce property rates under the State of Disaster declared because of the Covid-19 pandemic.Outa’s strategy and organisation development executive, Julius Kleynhans, said: “The Covid-19 pandemic has had a significant financial impact on businesses and individuals and will continue to do so for months to come.
Kleynhans said the temporary relief the organisation is petitioning for is contained in the Local Government Municipal Property Rates Act 6 of 2004. “We have received calls from people who have to choose between putting food on their tables or paying property rates, and municipalities can legally assist by reducing property rates or giving temporary exemption until such time as the State of Disaster declaration has been lifted,” he said.
SA Local Government Association , said municipalities could expect a 5% drop in payment rates, which will cost an estimated R14billion. Salga said the lockdown will result in job losses and reduced income, which will impact municipal revenues with reduced collection-levels, and consequent the inability to meet financial obligations.
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