Court intervenes to protect schools against Joburg rates shock

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Rates increase for properties used for education limited to 4.85% in July and in 2024.

The Gauteng division of the High Court on 28 February put a stop to efforts by the City of Johannesburg to reclassify property used for education in its rates policy, which would have resulted in an astronomical increase in the amounts payable for rates.

It granted urgent applications brought by AfriForum, the Independent Institute for Education, AdvTech, and Curro Holdings. The city and other respondents were ordered to pay a large portion of the applicants’ costs.

The court not only set aside the council decisions relating to the matter applicable to the current financial year, but went further and ordered that the tariffs applicable to such property may increase by only 4.85% in 2023/24.

The court further declared that the city is permitted to retain a special category for property used for education in its rates policy, contrary to the contention of the Democratic Alliance-led multi-party coalition when it governed the city.

Rad the full article on Moneyweb here.

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