Homeowners will pay an average $139 extra a year in rates, and some are facing increase of 14 per cent, as part of the changes to be unveiled in the ACT Budget.
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It comes as Treasurer Andrew Barr embarks on the second wave of his tax reforms when he hands down his budget.
Mr Barr said rates would increase by around $139 for the average household in the territory, although some properties could be facing higher costs.
Speaking on ABC radio, Mr Barr said the rising charges would help compensate for initiatives such as cuts to stamp duty.
“The average increase across the territory will be around 10 per cent,” he said.
“There will be variations across different parts of the city, depending on property values, but the range is about 4.5 per cent to 14 per cent.”
Mr Barr also dismissed previous concerns from the Opposition regarding rates tripling in the near future.
“In real terms on current projections it would be some time in the 2030s or the 2040s before you wold have rates triple what they were in 2012,” he said.
Mr Barr also hopes slashing stamp duty on buildings worth more than $1.65 million will help kick-start Canberra's commercial property market. From Wednesday, the conveyance duty on properties valued at more than $1.65 million will be reduced from 7.25 per cent to a flat rate of 5.5 per cent.
Mr Barr said the measure would provide a much-needed boost to the property sector.
''This lower top rate of stamp duty will help attract new business and investment to the ACT commercial property market,'' he told Fairfax Media.
''For example, a $25 million office block will have its duty reduced by $413,050 compared to 2012-13.''
Stamp duty on all other properties will be lowered in the budget. Under the government's tax reform plans, revenue lost through stamp duty cuts will be offset by increased rates.
''The budget continues the government's taxation reform plan, unveiled in last year's budget, to make taxes fairer, simpler and more efficient, and sustainable for the long term,'' Mr Barr said.
He confirmed on Monday that parking fees would rise in the budget. ''Parking fees go up in every budget,'' he said. Parking fees in government-owned car parks in Civic increased from $12 to $13.50 a day in January.
The fees had been due to go up last September but the increases were put on hold until after the ACT election. An auditor-general's report released last week criticised the government's handling of paid parking.
Mr Barr said tenders for new parking machines that accept credit cards would be let soon.
''It's the government's hope that the new machines can be in place later this year,'' he said.
The budget will include $142.6 million worth of spending cuts, including $96.4 million worth of general spending reductions across government directorates.
But the savings will be offset by $127.7 million in new spending.
Mr Barr said the budget would include a strong focus on meeting Labor's election promises.
"There will be a very strong focus
on delivering on those commitments,'' he said. ''And, of course, progressing those major infrastructure projects we know the city needs: the new northside hospital, investment in transport and transformational projects like the city-to-the-lake project.''
Budget measures that have already been announced include a changes to the first home owner grant, which will rise from $7000 to $12,500.
Eligibility for the grant will be narrowed so it can only be used to purchase new properties or houses that require ''substantial renovation''. The income test for access to the home buyer concession scheme will rise from $150,000 to $160,000. Access to the land rent scheme will be tightened with a stricter income test.
The government will spend $5 million beginning work on a separate paediatric emergency department at the Canberra Hospital. The federal government will reimburse the territory for the expenditure.
- with Stephanie Anderson
