If you put away your Otago Regional Council rates bill until the end of the year to pay, take note - you will be charged a penalty sooner this year.
Regional council rates bills go out with an October 31 payment date but penalty payment is not added until January 1.
That system had become a "nuisance" as many delayed paying their bills until the penalty date and it led to an "enormous" amount of "undelivered" rate assessments, corporate services director Wayne Scott said at a finance and corporate committee meeting yesterday.
Many who forgot to pay before their summer holidays ended up with a 10% penalty. In 2011-12 about 12,000 rate accounts incurred a penalty.
A new penalty date of November 1 was proposed, which was in line with the practices of most other local authorities, he said. It would apply to all unpaid rates, including those in arrears.
It was hoped this would encourage earlier payment of rates and reduce the level of penalties charged.
Councillors also agreed to his proposal introducing the ability for people to pay their rates by direct debit in three instalment throughout the year - October 31, February 28 and June 30.
Spreading the payments would assist those paying large or targeted rate bills, as well as low-income families, Mr Scott said.
The move had been requested by farming groups and those in special rating districts.
Chairman Stephen Woodhead said the move was administratively ideal for both parties.
"It's a sensible move."
However, Cr Michael Deaker questioned why local authorities in Otago had not co-ordinated their rating systems to save money and make it easier for bill-payers.
"It reflects badly on local government that we all have different systems. We need to co-ordinate and centralise our billing systems."
Cr Bryan Scott said he got "bloody annoyed" at organisations which charged penalties to loyal customers. He said the council would "dearly love not to collect 1c in penalties".
