Annual rates have risen by more than seven per cent and Victoria’s peak farmer group say it’s unsustainable.
The Victorian Farmers Federation has appealed to local councils to abandon rates on farm land.
President David Jochinke said the rating system was flawed with too much burden being shouldered by disadvantaged farmers.
“The price of rates is currently tied to the value of land which doesn’t accurately capture a ratepayer’s capacity to pay, nor the benefit they receive from their land,” he said.
“Rates should be set based on the value of the house and the surrounding land only.”
Mr Jochinke said “quite simply” that land used for farm production shouldn’t be rate-able.
“The Government is keen to promote its “Fair Go Rates” system but a lot of farmers are having trouble seeing the fair side of it,” he said.
CLICK HERE to view the VFF submission to State Parliamentary Inquiry into the Sustainability and Operational Challenges of Victoria’s Rural and Regional Councils.