PART V
DEVELOPMENT CHARGES
Principles of development charge
35.
—(1)
Subject
to the provisions of this Act, there shall be paid to the competent authority
a tax known as a development charge in respect of every development
of land authorised by any planning or conservation permission, except where the planning permission or conservation
permission is granted for a specified period of 10 years or less.
(2)
Subject to section 39, any development
charge payable in respect of any development of land shall be the
difference between the Development Baseline and the Development
Ceiling for that land.
(3)
Development Baseline and Development
Ceiling have the meanings assigned to them in section 36 and shall
be calculated in accordance with the prescribed method and rates.
Development Baseline
and Development Ceiling
36.
—(1)
Subject
to this section, the Development Baseline for any land shall be the
value of any authorised development of that land which satisfies
any one or more of the following criteria:(a)
development charge, where payable
in respect of the authorised development, has been paid;
(b)
no development charge is payable
in respect of the authorised development by reason of any exemption
or remission under this Act or the repealed Act; or
(c)
development charge is not payable
in respect of the authorised development under the written law in
force when the development was authorised.
(2)
The value of any
development of land referred to in subsection (1) shall be calculated
in accordance with the prescribed methods and rates.
(3)
Notwithstanding
subsection (1), any development of land, being a development in
respect of which no development charge is payable by reason of any
exemption or remission under this Act or the repealed Act, shall
be disregarded for the purpose of determining the Development Baseline
for the land if —(a)
any term of the exemption or remission
provides that the development shall be disregarded for that purpose;
or
(b)
any term of the exemption or remission
has ceased to be or is not complied with.
(4)
Notwithstanding
subsection (1), any development of land for use as a hotel or part
of a hotel authorised by the grant of written permission by the
competent authority under the repealed Act between 18th April 1968
and 31st December 1969 (both dates inclusive) on any prescribed
land shall be disregarded for the purpose of determining the Development
Baseline for the land if —(a)
the use of the development as a hotel
or part of a hotel has ceased; or
(b)
the application for planning permission
or conservation permission being considered by the competent authority
for the land is for development of the land for a use other than
as a hotel.
(5)
Notwithstanding
subsections (1) to (4), where the Development Baseline for any land
cannot be ascertained in accordance with those subsections, the
Development Baseline for the land shall be deemed to be the value
of the last authorised development of the land before the material
date.
(6)
Notwithstanding
subsections (1) to (5), where the Development Baseline for any land
cannot be ascertained in accordance with those subsections, the
competent authority may, with the prior approval of the Minister,
assign the Development Baseline for that land.
(7)
The Development
Ceiling for any land shall be the total of the following when calculated
in accordance with the prescribed method and rates:(a)
the value of the authorised development
of the land to be retained; and
(b)
the value of the development of the
land to be authorised by the written permission.
(8)
Notwithstanding
anything in this Act, in determining both the Development Baseline
and Development Ceiling for any land, any development of that land
authorised by a written permission granted for a specified period
not exceeding 10 years shall be disregarded.
(9)
For the purposes
of subsection (8) —(a)
the fact that the period specified
for a written permission granted for a development may be extended
by the competent authority shall not be taken into consideration
in determining whether the written permission is granted for a specified
period not exceeding 10 years; and
(b)
where the competent authority extends
the period for which a written permission is granted for a development,
the extension shall be deemed to be a separate written permission
granted for the period of the extension specified by the competent
authority.
(10)
In this section,
unless the context otherwise requires —"authorised"
, in relation to any development
of land, means any development of that land —
(a)
authorised under this Act or the
repealed Act; or
(b)
effected or carried out pursuant
to any written approval granted under any written law before 1st
February 1960;
"material
date"
means the date on which
an application for planning permission or conservation permission
is made.
Liability to pay development charge
37.
—(1)
Subject
to subsection (4), the development charge (whether under an interim
or final order) may, in the discretion of the competent authority,
be levied on —(a)
the owner of the land with respect
to which the planning permission or conservation permission is granted;
or
(b)
the person who applied for the relevant
planning permission or conservation permission.
(2)
That liability of the person on whom
the development charge is levied shall continue notwithstanding
any change in ownership of the land.
(3)
Notwithstanding section 13 (2), the
competent authority shall not grant any planning permission or conservation
permission until the estimated amount of development charge payable
under an interim order under section 38 (2) is either paid or secured
to the satisfaction of the competent authority.
(4)
Any outstanding amount of development
charge shall be secured as a first charge against the land to which
the relevant permission relates, and shall, subject to any other
rights of the Government, prevail over all other estates and interests whenever
created notwithstanding the provisions of any other written law
relating to the registration of any interest or encumbrance over
land.
Procedure for determination and payment of development
charge
38.
—(1)
The
competent authority shall determine whether a development charge is
payable in respect of any proposed development of land and, if payable,
the amount thereof.
(2)
The competent authority may in the
first instance estimate the amount of development charge payable
in respect of any proposed development of land and issue an interim
order requiring the payment of such estimated amount.
(3)
The competent authority shall serve
a copy of the interim order on the person liable for the payment
of the development charge in accordance with section 37.
(4)
Where an interim order is issued under
subsection (2) in respect of any proposed development of land, the
competent authority shall, within 12 months from the date of the
grant of the planning permission or conservation permission for
that proposed development, determine the actual amount of development
charge payable and make a final order.
(5)
If no final order is made at the end
of the period allowed under subsection (4), the estimated amount
shall be deemed to be the actual amount of development charge payable
in respect of the proposed development and the interim order shall be
deemed to be a final order.
(6)
Any additional development charge payable
under a final order issued under subsection (4) shall be paid within
such time as the competent authority may specify in the final order.
(7)
Where a final order issued under subsection
(4) is for an amount lower than the amount in the interim order
relating to the same proposed development, the competent authority
shall refund the excess without interest to the person who paid
the estimated amount under the interim order.
Alternative basis for determination of development
charge
39.
—(1)
The
Minister may limit the application of this section to proposed developments
in respect of which the estimated amount of development charge payable under
an interim order issued under section 38 (2) exceeds a prescribed
sum.
(2)
Any person who is dissatisfied with
the estimated amount of any development charge specified in an interim
order issued under section 38 (2) may, within 14 days of the interim
order being served on him in accordance with section 38 (3), in
writing request the competent authority to determine the development
charge in accordance with this section.
(3)
Where any person makes such a request
under subsection (2) in respect of any proposed development of any
land, the development charge payable for any planning permission
or conservation permission in respect of the proposed development shall
be a prescribed percentage of any appreciation in the value of the
land arising from the grant of the relevant permission to develop
the land.
(4)
For the purposes of this section, the
Chief Valuer or such other person as the Minister may appoint shall
determine the amount of appreciation, if any, in the value of the
land.
(5)
The competent authority may by an interim
order require the payment of an estimated amount of development
charge to be determined in accordance with this section and the
provisions of section 38 (2) and (3) shall apply, with the necessary modifications,
to an interim order under this subsection.
(6)
Where an interim order is issued under
subsection (5) in respect of any proposed development of land, the
competent authority shall, within 12 months from the date of the
grant of planning permission or conservation permission for that
proposed development, determine the actual amount of development
charge payable in accordance with this section and make a final
order; and the provisions of section 38 (5) to (7) shall apply,
with the necessary modifications, to such interim order and final
order.
(7)
Where a person liable to pay any development
charge under this section is dissatisfied with —(a)
the interim order under subsection
(5);
(b)
the final order under subsection (6);
or
(c)
the interim order deemed final pursuant
to subsection (6),
he may, within 30 days of the interim
order or the final order under this section, or if no final order
is made, after the expiry of the time allowed under subsection (6) for
a final order to be made, appeal to the Minister whose decision
shall be final.
(8)
A person who appeals to the Minister
against an interim order under this section may nevertheless pay
the estimated development charge under the interim order pending
the outcome of his appeal and, upon the grant of the relevant written
permission, may proceed with the development or works, but such
payment shall be without prejudice to his appeal.
(9)
No person may appeal under subsection
(7) unless he has paid the prescribed fee for the appeal.
Remission of development
charge
39A.
The
Minister may, in his discretion and subject to such terms and conditions as
he may determine, remit, wholly or in part, the development charge
payable by any person if he is satisfied that it is just and equitable
to do so.
Power to make rules relating to development charge
40.
—(1)
The
Minister may make rules for giving effect to this Part and for any matter
which is required under this Part to be prescribed and, in particular,
for or with respect to all or any of the following matters:(a)
the different rates and methods of
calculation of development charge;
(b)
exempting any particular development
or class of developments from being the subject of any development
charge;
(c)
the procedure for an application to
the competent authority to determine the amount of any development
charge;
(d)
the deferment of liability to pay
development charge; and
(e)
the refund, wholly or in part, of
the development charge paid by any person.
(2)
Deleted by Act 30/2003, wef 10/12/2003.