Community Title Scheme parity factor | Brisbane City Council

Community Title Scheme parity factor

Brisbane City Council has introduced a parity factor for Community Titles Scheme (CTS) properties.

The calculation of the parity factor is based on the total unimproved land value of the CTS property, which is used to apply a loading to the general rates component of the bill.

Calculating the parity factor

The parity factor is based on the ratio of individual unit value to total land value. 

The parity factor = (Total calculation of Bands A - D + Unit Rateable Value) ÷ Unit Rateable Value 

Parity factor calculation

Band Total land value (rateable) Multiplied by rate factor 
A For each dollar of rateable value of the land upon which a community titles scheme is constructed up to and including $2,250,000 0.0000
B For each dollar of rateable value of the land upon which a community titles scheme is constructed from $2,250,001 up to and including $6,000,000
 
0.00760
C For each dollar of rateable value of the land upon which a community titles scheme is constructed from $6,000,001 up to and including $10,000,000
 
0.00970
D For each dollar of rateable value of the land upon which a community titles scheme is constructed in excess of $10,000,000 0.00225

Where the parity factor calculated exceeds five, the parity factor is deemed five.

The calculation table is also located in the Resolution of Rates and Charges.

Example

An example of a parity factor calculation:

Parent ARV = $20,000,000

Unit ARV = $200,000

Band Total land value (rateable) Multiplied by rate factor  Equals
A Up to $2,250,000 0.0000 0
B $2,250,001 to $6,000,000
 
0.00760 $28,500
C $6,000,001 to $10,000,000
 
0.00970 $38,800
D Balance of $10,000,000 0.00225 $22,500
Total of Bands A - D $89,800

The parity factor for this example is $89,800 plus the unit value of $200,000, divided by the unit value of $200,000 equals 1.4490.

More information

To find out more about Community Titles Scheme rating you can contact Council.

18 October 2018