511A   Catching up of income lost due to reductions in valuation

(1)  This section applies to a council that cannot recover or retain a part of the maximum permissible general income determined under this Part for a year because, after the determination is made, a valuation used in making a rate is reduced on objection under Part 3, or appeal under Part 4, of the Valuation of Land Act 1916. The part of the maximum permissible general income that cannot be recovered or retained is referred to in this section as the unrecovered amount.

(2)  The council may increase the maximum permissible general income determined under this Part for a year by any unrecovered amount for a previous year.