DEFINING PROPERTY TAX

[00:00:01] Speaker A: The best insight, instant feedback, accountability. The all new talk radio Freedom 106.5. [00:00:08] Speaker B: Join us now this morning. As I said, we'll be discussing property tax. And he's a gentleman. He's been on this program many, many years before. He's been on, he's discussed so many things with us, and he's joining us this morning to discuss the issue of property taxes. Welcome former Chagonas Mayor Sarah Ratan. Rambachan, good morning to you. [00:00:25] Speaker C: Good morning to you, Satish, how are you? [00:00:27] Speaker B: I'm fine. Nice to have you with us here this morning on the issue of property tax. I understand that you have a lot to say. [00:00:34] Speaker C: I heard a new call and coffee called property tax. [00:00:36] Speaker B: Yeah, probably is. It is. It's bad. [00:00:42] Speaker C: Satish, thanks for having me on the program. The reason I called into your program is because of the assessment I got yesterday with respect to my property taxes at 143 Barry Crescent, Amsterdam Park Chagwan, where I've lived for 34 years. And they valued my annual rental value to be $1,176,000, $98,000 a month for my house in Ramsey and Park, which means that my property tax is $51,752 a year, which, of course, is atrocious because I would like the minister of finance and all the people in the BIR to advertise my house at a rental value of $98,000. And if I get that, I will move out and live in an apartment somewhere. So something is blissfully and wrong with terms of how they are going about these evaluations. I never got a valuation report from the office. About four weeks ago, someone called and said they want to speak to Srirat and Rambachan. I said, I am that person. Do you live at 143 by request? Yes. Well, I just want to verify that that is your residence, and this is the residence, that house we are talking about. So by the time I asked, what is this all about, the person said, the property tax calculations. And that was it, nothing more. And then I get this notice of assessment, amount payable $51,752 for the year. So that means that on a fixed income, a person like myself have to now get $2,600 a month extra to pay this property tax. Now, what is worse than this is that this has to be paid on or before 30th September 2024. That's this year. If it's not paid, then a further 10% of the amount of tax shall be added by way of an increased tax from October 1, $3,175 more. And then if it's not paid interest at the rate of 15% per annum on the amount of taxes to be applied to the tax has increased from 1st October 2025 to the date of payment. So here you have a penalty of 10% if you don't pay it and 15% interest thereafter. Now, what is interesting is that you can appeal this and you could file an objection. But even if you file an objection, you still have to pay the $31,000 while the appeal or while the objection is being considered, which is totally unfair. And even if you win the objection, you're not sure when you're going to get back your money, because that is how the government operates. And while they charge you 15% interest, you are not going to get 15% interest on the money that they held for you. And this is really a very unfair process in terms of what they are doing. Because I would like to know how come people in lunch park with really large houses are paying $9,000 assessed for $9,000 a year? And here I am assessed for $32,000 a year, which has to be atrocious. [00:04:23] Speaker B: Are you aware of any other persons in and around your area with the same kind of valuations? [00:04:30] Speaker C: Not of high valuation, but at least one third of my valuation, one third of my by tax. [00:04:38] Speaker B: Okay. [00:04:39] Speaker C: Equivalent properties. Okay. [00:04:41] Speaker B: So it definitely is an anomaly that needs to be addressed. But the strange thing is there are person in other parts of the country who've received astronomically high evaluations as well, and they're trying to figure out to themselves, how did that come about and how do they treat with it. But from what you're outlining to us here this morning, it's a lose lose situation. [00:05:10] Speaker C: But satisfy how long the objection process takes is a question that has to be answered. Right. And according to the Valuation of Land act, you must submit your objection to the commissioner of valuations within 30 days of having received a notice of valuation. But I got no notice of valuation. Now, the office of the Commissioner of valuation, he has up to twelve months to respond. And if there's a disagreement with the response, there is an appeal tribunal and then to the high court. But listen to this. You can only go to the high court on points of law. You follow what is happening there on points of law. [00:05:54] Speaker B: Evaluation is not a point of law. [00:05:56] Speaker C: No. And therefore, what you call it, the tribunal, as it were. Right, the appeal tribunal, they have the final fair. Now, if there are people on that appeal tribunal who don't like your head or who are politically inclined against you, you can understand what is happening there. Unless you can go and file a different kind of matter to the high court. But this is atrocious. And I think that this bill was not debated properly in the parliament, nor were these matters made available to the public in the way that the public is beginning to understand it now. [00:06:35] Speaker B: Well, the proof is in the pudding, and apparently the pudding angle, they know. Well, there's a lot of people, and that's a sad reality. And now people are caught between a rock and a hard place. [00:06:45] Speaker C: Let me just make one point. I'm not prepared to pay property tax. I'm not saying that at all, because I value services that can be paid for with the property tax. But you cannot be unfair and unjust to people like this. You cannot give me, for example, a $32,000 tax without giving me a valuation report. So, in fact, you are breaching my right in the first place. And then you call me up on the phone to ask me three questions and then you send this to me, right? What am I to judge by that? What am I to judge that? Am I not to assume in some way, in my mind, that, hey, am I being a target? To me that's a fair question, yeah. Because around me, people are not being given this kind of valuation or taxes to pay. [00:07:43] Speaker B: So what really are your options now? [00:07:46] Speaker C: My option is to file the appeal or the objection, but I will have to pay the $32,000. So I have to find $32,000 to pay. Even do I file the objection? [00:08:01] Speaker B: And this would be the same procedure for everyone? [00:08:05] Speaker C: For everyone. That's what I'm saying. So I do not know if people in the country understand the distress under which they are being put. [00:08:16] Speaker B: I think, and from your explanation this morning, it's clear a lot of people are on the impression that once you file the objection, you don't add a paid money. [00:08:27] Speaker C: No, you have to pay it. [00:08:28] Speaker B: So that is going to hit a lot of people hard this morning, that's for sure. Because I know a number of people who are intent on challenging the valuations, but that doesn't prevent them from having to pay the money. Wow. This really is a situation that needs to be analyzed, but there's not much. [00:08:46] Speaker C: That you can listen to. What? I mean, seriously, if you don't pay, there's a 10% that you have to sign and then the 15% interest that continues thereof. Now, there's another point, Satish. While they say that if you can't pay and you are pensioner and what have you and so on, you'll get an ease up. You're not getting no ease up. Your inheritors have to pay everything, right? So there is no ease up. So if, for example, you paid 50% of what you're supposed to pay, whoever inherits your property will have to pay that and pay the penalties and interest when they inherit your property. The question of being given a bly at any point in time is not correct at all. [00:09:29] Speaker B: Yeah, I was having the discussion with someone and I said to them, the entire narrative thus far on property tax has been one to mislead the population on exactly what will come about if you don't pay the tax or you defer it or whatever else. And you're saying it in no uncertain terms. This morning, exactly what I had suggested, that the population really don't understand how serious this thing is. And if you don't pay a tax and you pass it on to somebody else somewhere down the line and they can't pay it, what happens to your property? [00:10:00] Speaker C: Well, the property will be seized and sold. They have that option to do that under the law. [00:10:06] Speaker B: All right, Dr. Amishan, thank you so much for calling on and for giving us. [00:10:09] Speaker C: Thanks for having me, sir. Thank you very much. [00:10:12] Speaker A: The best insight, instant feedback, accountability. The all new talk radio Freedom 106.5.