There are too many questions about the charges will be imposed if the house is a strata type. 

Maintenance charges (fees), assessment rate, property tax, land tax, fire insurance, there are too much to pay! Hence the idea to combine the assessment and maintenance charges. With the merge of the payment charge, is it able to relive the burden on taxpayers? 

The first question; 

Who has the right to determine the rate of tax assessment and maintenance? 

Assessment Tax 

• The assessment tax rate is set by the Local Authority. 
• The pay must be made twice a year.
• The calculation involves the basic annual value or basic value. 
• In fact, each region has a different rate. In the rural areas, it has a lower percentage rate compared in the city. 

 Maintenance charge. 

• This charge is determined by the Management Board/JMB/MC. 
• Need to pay each month. 
• The calculation involves an area of square feet and the maintenance 
• Equal payment for each unit, unless a wider an area of square feet.  

The second question; 

Why pay the assessment taxes and maintenance charges? 

Tax assessment – to help the maintenance work and the infrastructure management, lighting system, waste management, cleaning drainage and so on. It is focused on the are we live. 

Maintenance charge – for maintenance and repair work in the residential buildings such as cleaning, landscaping and so on. It is just focus on the area of residential buildings only.  

The third question; 

If it can be combined, how the income distribution will be made? 

Since both types of payments are different types, in fact, the collector agent will be different as well.  

• Assessment Tax under the Local Government Act 1976 (Act 171) 
• Maintenance Charge under the Strata Building Management Act (Act 757) 

The results of the collection of maintenance charges will be credited to Maintenance Account or Clarifying Fund Account or Sinking Fund. Can this both charges be combined? On the positive side, this will be a promising uniformity and pleasure to the Management Board in the long run. On the negative side, the reception communities, the increase in tax payments and the increase in the living cost can occur.  

Two different laws involve two different entities. 

In fact, two different acts have been mandated to collect taxes and to collect the maintenance charges. So why should mix up the two-party system and responsibility? Also, the amendments of the Act 757 have been made about who is mandated to manage the strata building. 

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