Think Piece: All you need to know about business rates!
Posted on April 20, 2016.Business Rates is a statutory tax levied by central Government on those responsible for commercial property and is collected locally by the Council. Every five years, the rateable values of commercial properties are re-valued, however the latest revaluation is currently being delayed until April 2017. If the building is unoccupied, empty business rates will still apply. To calculate your business rates/empty business rates, you’ll need to multiply the rateable value for your business with a ‘multiplier’ set by the government. A multiplier is the number of pence per pound of rateable value that you will have to pay in business rates, before any relief or discounts are deducted. Multipliers are reviewed every year in line with inflation.
- Search by postcode to find the rateable value of your business
- Find the correct multiplier for your size of business and location.
- Multiply your rateable value by the correct multiplier. This shows you how much you will have to pay in business rates (before any relief is deducted).
- Take away any business rate relief that you’re entitled to.
The VOA regional office will make the decision to reduce empty business rates. This process usually takes c. 12 weeks from start to finish and is back dated to the date our guardians first occupied the commercial building.
The local authority is then instructed by the VOA regional office to comply with the decision granted.
GGM has a 100% success rate in achieving empty business rate deductions.
The primary use of the property remains non-residential so when commercial activity can take place there is no change of use issues. The ancillary use of the property becomes temporarily residential due to guardian occupation.
The VOA instructs the Local Authority to band the ancillary use of the property for Council Tax liability.
If you have any questions regarding business rates, please don't hesitate to contact our very experienced team who will be happy to answer and help you reduce your costs on your void properties today.