Non domestic rates, also known as business rates, are taxes that businesses in the UK must pay on the properties they occupy. These rates are calculated based on the rateable value of the property and are used to fund local services provided by the council. However, businesses that own non domestic properties that are empty may be eligible for empty property relief, which can provide some relief on the rates they have to pay.
Empty property relief is a scheme offered by local councils in the UK to provide relief on non domestic rates for properties that are empty. The purpose of this relief is to encourage property owners to bring empty properties back into use and prevent them from falling into disrepair. By providing relief on the rates, councils hope to incentivize property owners to make their properties more attractive to potential tenants or buyers.
There are different types of empty property relief available, depending on the type of property and the circumstances surrounding its vacancy. The most common type of relief is the 100% relief, which provides a full exemption on the rates for a set period of time. This period can vary depending on the council, but it is typically between three and six months.
In addition to the 100% relief, some councils also offer a 50% relief for properties that have been empty for a longer period of time. This can provide additional support for property owners who are struggling to find tenants or buyers for their properties. There are also specific types of relief available for properties that are undergoing renovation or are located in certain areas designated for redevelopment.
To qualify for empty property relief, property owners must meet certain criteria set out by their local council. Typically, the property must be genuinely empty and not being used at all for any purpose. It must also be in a state of disrepair or undergoing renovation, making it unsuitable for occupation. Property owners may be required to provide evidence of the property’s vacancy and its condition to support their application for relief.
It is important for property owners to be aware of the rules and regulations surrounding empty property relief, as failure to comply with these requirements could result in penalties or fines. Councils have the authority to inspect properties to ensure they meet the criteria for relief, and property owners may be asked to provide further information or evidence to support their claim.
While empty property relief can provide some much-needed financial relief for property owners, it is important to remember that it is only a temporary measure. The ultimate goal of this relief is to encourage property owners to bring their properties back into use and contribute to the local economy. Property owners are encouraged to use the period of relief to actively market their properties and seek tenants or buyers to avoid incurring full rates once the relief period ends.
In conclusion, non domestic rates empty property relief can be a valuable resource for property owners who are struggling to find tenants or buyers for their empty properties. By providing relief on the rates, councils aim to encourage property owners to bring their properties back into use and prevent them from falling into disrepair. Property owners should familiarize themselves with the rules and regulations surrounding empty property relief and use the period of relief to actively market their properties. With the right approach, property owners can benefit from empty property relief and contribute to the revitalization of their local area.