Sectional Title Update ...
MUNICIPAL PROPERTY RATES ACT 6 OF 2000
You will recall that we have mentioned this particular piece of legislation before because of its potential impact on sectional title ownership.
In terms of section 10 of the Act, municipal councils are empowered to value each sectional title unit separately as from the 1st of July 2004, and collect rates and taxes from each unit owner individually, rather than from the body corporate, as has always been the practice.
Obviously most councils don’t have the infrastructure in place to implement the provisions of the Act as yet, but when it is implemented, only the units in the scheme will be rated and not the common property. Bear in mind that a “unit” includes the section and an undivided share in the common property!
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