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DA and ActionSA clash over tax proposals

Various stakeholders and political parties in Tshwane are butting heads over measures to ease financial pressure on residents ahead of the 2025/26 municipal budget and new property valuation roll.

Various role players and stakeholders in the metro are proposing measures to relieve the burden on ratepayers and municipal consumers ahead of the publication of the draft 2025/26 municipal budget and the new property valuation roll.

Tshwane’s last General Valuation Roll was completed in 2018.

Due to the disruption caused by the city being placed under provincial administration, coinciding with the Covid-19 lockdown, a new roll could not be completed by 2022.

Jacqui Uys, DA Tshwane spokesperson on Finance, said decision-makers must trim their sails to what consumers can afford.

She believes preference should be given to tax-neutral revenue-raising measures, including the rollout of smart prepaid electricity meters that minimise theft and waste, and the digitisation of billing disputes. This will ensure that the city takes credit control measures based on accurate information.

Uys pointed out that three risks could seriously impact residents’ available funds for services: The metro’s new property valuation roll, a network access charge for electricity, and a new tax in the form of a city cleansing levy.

“From the valuation increases that DA councillors have seen, it is clear that Tshwane will significantly increase its income from property rates,” said Uys.

“These changes could not come at a worse time for residents, with the ANC-led coalition cutting contracted services for regional service delivery in the February budget adjustment. Simultaneously, appointments have been frozen and overtime cut, leading to unattended power outages across the city,” said Uys.

She is proposing that property tariffs should be taxed at the same rate as last year, thus a 0% increase on rates charged.

Uys also suggested raising the tax-free portion of residential property value from R150 000 to R450 000.

“This will bring considerable relief to all property owners. The city should also consider exempting a portion of the value of business and agricultural properties from property rates,” added Uys.

Michael Beaumont, ActionSA national chairperson, said that none of the alternative budget solutions and proposals on the General Valuation Roll presented by the DA were given to the coalition government.

“Regardless, their inputs will be noted, and the inclusive nature of the governing multi-party coalition will likely give the proposals due consideration. The DA’s vocal criticism of the recent review of the property valuation roll in Tshwane stands out as particularly hypocritical. It is important to note that the process to review the roll was made under the DA administration, with the then-mayor, Cilliers Brink, stating that he believes there are many discrepancies on the valuation roll.”

Beaumont believes this hypocrisy reveals a troubling amnesia within the DA, which has seemingly forgotten its previous stance on the matter.

He pointed out that the DA would do well to remember that the last time the roll was updated was in 2020 when it increased in value by 37.5% from 2017.

The 2025 valuation roll has only increased by 24.27% in comparison.

“This suggests that the DA is increasingly anxious about how its track record of failure is being exposed by a more competent government,” said Beaumont.

“The metro has established robust mechanisms for lodging complaints to ensure transparency and fairness in the review process. Ultimately, ActionSA is satisfied that these processes will protect any resident from an incorrect valuation.”

He is confident that the mayor will table a budget that will fund the service delivery priorities and protect from unwarranted tariff increases.

The General Valuation Roll was also a topic of discussion at a meeting of the Pretoria Sakekamer on March 19 where over 70 business leaders gathered to discuss the roll.

Brink, as guest speaker, provided insight into the valuation process, explaining the legislative framework that governs property valuations and detailing how the metro determines property values.

He outlined the formal objections process and encouraged property owners to scrutinise their valuations.

“The discussion sparked strong reactions from attendees, particularly developers and landlords who fear that excessive valuation increases could lead to higher rental costs, tenant losses, and increased financial strain on businesses,” said Fergus Ferguson, chairperson of the Sakekamer.

Concerns were also raised by business leaders that rising property rates could place an even greater burden on already stretched taxpayers while worsening the culture of non-payment within the city.

Some attendees highlighted specific cases of extreme valuation discrepancies, reinforcing Pretoria Sakekamer’s previously stated concerns about inconsistencies in the roll.

As a way forward, the Pretoria Sakekamer urges all property owners to engage in the process by submitting objections before the May 2 deadline.

The business chamber also encouraged active participation in the city’s budget consultation process to oppose major increases in property tariffs.

“We want to emphasise that these increases must be fair, consistent, and reflective of actual market conditions,” said Ferguson.

– Click here to listen to a webinar on Tshwane property rates with attorney Hans-Jurie Moolman, a specialist in property law:

 

– Click here to access your property’s evaluation: https://propertyvaluations.tshwane.gov.za/NewSearch

– For more information on the objection process, visit the City of Tshwane’s official valuations portal at: https://propertyvaluations.tshwane.gov.za/Downloads.

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