Overbilled

Property rates and refuse charges in Johannesburg: how they are worked out

Property rates and refuse are two charges on your account that don't depend on how much you use (sanitation and the water demand levy are fixed too; see water charges explained). Both depend on your property's municipal value. That makes them easy to check if you know your valuation and the 2026/27 figures. This guide shows the formulas, the rebates and a worked example.

General information, not legal advice.

Property rates

The City's 2026/27 approved tariffs brochure lists a rate for each property category. The rate is a number of rand per rand of value, often called "rand in the rand". For a residential property it is:

Other categories use different rates. For example, the brochure shows 0.024721 for business and commercial, industrial and mining land, 0.002473 for agricultural, and 0.039554 for vacant land. Check that your property is in the right category. A wrong category changes the rate a lot.

The first R300,000 is excluded

For residential property, the brochure says the first R300,000 of the market value is exempt from rates. Where an owner has more than one property, the exemption applies only to the highest-valued one. Each additional property gets a R15,000 reduction instead.

The formula

Annual rates (our reading of the brochure) = (property value − R300,000) × 0.009889

Divide by 12 for the monthly amount, if your account bills monthly.

Rebates

The brochure lists rebates for 2026/27. Some examples, in its own words:

The brochure doesn't say whether rebates are applied automatically. If you think you qualify and your bill shows none, ask the City how to apply. We could not confirm the application process from the sources we used.

Refuse

The brochure's "Refuse charge breakdown" sets the refuse tariff by property value band, increased by 6.2% for 2026/27:

Property value Refuse tariff
R0 to R350,000 Exempt
R350,001 to R500,000 R199
R500,001 to R750,000 R261
R750,001 to R1,000,000 R329
R1,000,001 to R1,500,000 R347
R1,500,001 to R2,500,000 R484
R2,500,001 to R5,000,000 R507
Above R5,000,000 R516

The brochure also lists a separate City Cleaning Levy, also by value band. For example, R271 for R350,001 to R500,000, R273 for R500,001 to R1,500,000, and R392 for R1,500,001 to R2,500,000.

The brochure does not state the billing period on the tariff tables. We believe the amounts are monthly, because that is how they appear on an account, but we could not confirm this from the brochure alone. It also doesn't say whether these amounts include VAT. Check your own bill.

Worked example

A residential property with a municipal value of R1,200,000.

Rates

  1. Take off the exclusion: R1,200,000 − R300,000 = R900,000.
  2. Multiply by the rate: R900,000 × 0.009889 = R8,900.10 a year.
  3. Per month: R8,900.10 ÷ 12 = R741.68 (rounded).

If the owner paid the whole year in advance and qualified for the 10% rebate: R8,900.10 × 0.90 = R8,010.09.

Refuse

City Cleaning Levy

If the brochure's figures are monthly, and the cleaning levy is charged in addition to refuse, the monthly lines would be about R741.68 for rates, R347 for refuse and R273 for the cleaning levy. The brochure doesn't say either, so check your own bill, which may combine or label these differently.

How to check your own bill

  1. Find the value on your bill. Compare it with the valuation in your own records, such as the City's valuation notice. A wrong value feeds into every figure above. Inference: a wrong municipal value is usually challenged through the City's valuation objection process (under the Municipal Property Rates Act), which has deadlines, rather than through a billing query. We haven't checked that process or its dates, so ask the City.
  2. Check the category. Residential should use 0.009889.
  3. Apply the formula. Subtract R300,000, multiply by the rate, divide by 12.
  4. Check the rebates. Make sure any you qualify for appear.
  5. Check the refuse band against your value.
  6. Check for duplicates. If you own more than one property, check the R15,000 reduction was applied correctly to the others.

If a figure does not match, query it and keep the reference number. See how to dispute a Joburg bill. Section 95 of the Municipal Systems Act says a municipality must, within its financial and administrative capacity, ensure that people "receive regular and accurate accounts that indicate the basis for calculating the amounts due" (section 95).

Sources

Want us to check your bill? Overbilled checks your last 3–12 months against the City's published 2026/27 tariffs and its Credit Control Policy, and lists anything it couldn't check. Check my bill