Are rates levied on Māori freehold land?

Yes. Land owned by Māori (Māori freehold land) is rated. This whenua Māori is also a taonga tuku iho – a treasure to be passed on through the generations. Because of this special status, the Local Government (Rating of Whenua Māori) Amendment Act 2021 was passed enabling local authorities to rate Māori freehold land differently.

Māori freehold land can be harder to use or develop than other land. Many blocks have multiple owners, no formal management structure, or limited access. Some blocks are also landlocked, which makes it difficult to build, live on, or earn income from the land.

Recognising those challenges, Section 108 of the Local Government Act 2002 requires all councils to introduce policies for the remission and postponement of rates on Māori freehold land. Together with the Local Government (Rating of Whenua Māori) Amendment Act 2021, this legislation aims to:

• support the development of whenua Māori
• support the development of housing on whenua Māori.

Making it easier for owners to permanently occupy and/or farm their land, means they are also in a better position to pay rates on that land.

Approximately 10 per cent of the Far North District’s rating database is Māori freehold land. The remainder is:

• Crown Owned 6.09 per cent (not rateable)
• General Title 83.41 per cent.

It is worth noting that unless the land comes under one of the exceptions in the rates legislation, FNDC is required to raise rates irrespective of whether these are expected to be paid, provided for under the remissions policy or to be remitted as directed in the Whenua Māori Amendment Act 2021.