Periodic outgoings such as Council rates and water and sewerage access charges are imposed on the land and are not removed on a change of ownership. Outgoings are therefore adjusted between the Seller and the Buyer as at the Settlement Date up until the end of the current period. The Seller will pay the rates up to and including the day of Settlement. The Buyer then pays from the day of Settlement to the end of the current period. This is shown as a ‘credit’ on the Seller’s settlement statement. Any outstanding rates are paid from the sale proceeds to ensure the debt is cleared at Settlement. If you are buying a lot in a Community Titles Scheme, the body corporate levies will also be adjusted.