Rates notice: how to read it

There are a lot of details featured on your rates notice, a portion of which is set by the Victorian Government. Take a look at the example notice to learn about the main elements and better interpret your own notice.

Example rates notice

Fee types

Your total rates due are typically made up of 3 main fee types

  1. general rates
  2. charges not covered by general rates
  3. fire services property levy

General rates

These are typically the largest fee component of your rates notice. General rates are listed on your notice as line items such as

  • residential improved / residential vacant
  • commercial improved / commercial vacant

General rates calculation, using details on your rates notice: 

Rate in the $ on CIV × Capital Improved Value 

General rates depend on property valuation data set by the Victorian Government each year

Other charges: bigger or extra bins

Have a large general waste bin or maybe even a large green waste bin? There's a fee on top of your general rates to use the larger size.

All fees are itemised and if you have any standard services they are also listed even though no fee applies.

Fire services property levy

On your bill you will notice multiple fees described as

  • CFA Residential Fixed or MFB Residential 
  • CFA Residential Variable or MFB Residential Variable

These fees are set by Victorian Government and are collected and passed on by Council as a collection agent.

The levy is in 2 parts, made up of: 

  • a fixed fee, $111.00 for residential properties and $226.00 for commercial.
  • a variable fee, calculated as: Capital Improved Value × levy Rate in $ on CIV

The State Revenue Office: Fire Services Property Levy outlines what the funds are used for and how they're set.

Rate cap: when does it apply?

We have multiple sources of funding to provide facilities and run services including grants, interest on investments and rates revenue.
The total amount of rates revenue needed by Council is set annually in our budget process. Increases to this overall rates revenue amount, over the year before, is limited by the rate cap (currently set at a 2.5%).

Your rates bill may be more or less than you expected because the 2.5% cap applies to the original total amount of rates required by Council, not your individual property.

The overall rate revenue amount is important as it is used to set the general rates Rate in the $, calculated as:

Total revenue needed from rates each year (set in Council budget) ÷ Value of all rateable properties in Banyule (set by Victorian Government)