Non domestic rates, also known as business rates, are taxes levied on non domestic properties in the UK. Property owners are often burdened with hefty rates that can put a strain on their finances. However, there is relief available for owners of empty properties in the form of non domestic rates empty property relief. This relief can significantly reduce the amount of rates that property owners have to pay on their vacant properties.
non domestic rates empty property relief is designed to encourage property owners to maintain their vacant properties and keep them in good condition. The relief allows property owners to claim a significant reduction in their business rates if their property is empty. This can be a lifeline for property owners who are struggling to find tenants for their vacant properties or who are in the process of refurbishing or redeveloping their properties.
There are several types of non domestic rates empty property relief available to property owners:
1. Mandatory Relief: Under mandatory relief, property owners can claim a 100% reduction in their business rates for the first three months that their property is empty. After the initial three months, the relief is reduced to 10% if the property remains empty. This type of relief is automatic and does not require property owners to apply for it.
2. Discretionary Relief: Discretionary relief is available for property owners who can demonstrate that their property is actively being marketed for rent or sale. Property owners must apply for this relief and provide evidence of their marketing efforts. The amount of relief awarded is at the discretion of the local council, but it can be up to 100% of the business rates for a limited period of time.
3. Exempted Buildings: Certain types of buildings are exempt from non domestic rates, even if they are empty. These include buildings that are listed or scheduled monuments, buildings with a rateable value of less than £2,900, and buildings that are used for agricultural purposes.
4. Charitable Relief: Charities and non profit organizations may be eligible for charitable relief on their non domestic rates. This relief can be up to 80% of the business rates, depending on the circumstances of the organization.
Property owners should be aware of the eligibility criteria for each type of relief and ensure that they meet the requirements before applying. Failure to comply with the conditions of the relief could result in penalties or the withdrawal of the relief.
Property owners who are claiming non domestic rates empty property relief should be aware of the following tips to maximize their relief:
1. Keep accurate records: Property owners should keep detailed records of the dates that their property is empty, any marketing efforts that have been made, and any correspondence with the local council regarding the relief. This will help to support their claim for relief and ensure that they receive the maximum amount of relief available.
2. Be proactive: Property owners should actively market their empty properties to show that they are making efforts to find tenants or buyers. This will strengthen their claim for discretionary relief and increase their chances of receiving a higher reduction in their business rates.
3. Seek professional advice: Property owners who are unsure about their eligibility for non domestic rates empty property relief should seek advice from a qualified professional, such as a chartered surveyor or a tax advisor. These professionals can provide guidance on the relief available and help property owners to navigate the application process.
In conclusion, non domestic rates empty property relief is a valuable resource for property owners who are struggling to handle the financial burden of vacant properties. By understanding the types of relief available, meeting the eligibility criteria, and following the tips outlined above, property owners can maximize their relief and ease the financial strain of owning empty properties.(Property=489)