Local councils should avoid abrupt hike in assessment rates, says Nga

Local councils should avoid abrupt hike in assessment rates, says Nga

Housing and local government minister says Putrajaya will propose a gradual tax increment that will not burden the people.

Housing and local government minister Nga Kor Ming said any increment in the assessment rate must take into account the current inflation rate. (Bernama pic)
PETALING JAYA:
Local councils should not implement drastic hikes in assessment rates as it would burden the public, says housing and local government minister Nga Kor Ming.

In a statement, Nga said taxpayers’ welfare must be taken into consideration when assessing such rates, adding that the issue had also been raised in the recent National Council for Local Government meeting.

“The government proposes that tax increases be implemented gradually, taking into account the current inflation rate, for instance, an increment of only 2% to 5% every two years,” he said in a statement.

“The government’s policy is clear – this is a government of the people, for the people. All objections and feedback will be thoroughly reviewed to ensure that decisions made are fair.”

He said the gradual increment approach had been successful in Penang, where small but consistent increments were well-received by the people.

“I believe Ipoh can also study and adopt a similar approach to ensure the public is not burdened (by the new rate),” he said.

Nga, who is Teluk Intan MP, was responding to criticism of a proposed increase in property assessment tax by the Ipoh City Council.

Ipoh mayor Rumaizi Bahrain said that while the Local Government Act 1976 (Act 171) allows for reviews of property assessments every five years, Ipoh last revised its rates 42 years ago in 1982.

FMT has reached out to Rumaizi for more information on the proposed rate hike.

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