Avoiding
Empty Property Rate - A Guide for Ratepayers
It
may be possible to avoid paying empty property rate, or
at least reduce your liability to the lowest possible
amount.
First,
you should check that your rate account
(non domestic rates bill) is correct. If your rateable
value (RV) for the 2005 list is significantly higher than
it was for the 2000 list, you may be entitled to Transitional
Relief. You can check your bill using our rate
liability calculator.
Is
your property a Listed Building? If so
you should still receive full exemption from Empty Property
Rate.
Do
you qualify for Small Business Rate Relief?
If so you should consider occupying the property. The
rates payable on a property where the ratepayer receives
Small Business Rate Relief (SBRR) will be less than the
rates payable on an empty property. Empty properties do
not qualify for SBRR.
Could
you let the property? It may be more
beneficial to accept a lower rent than continue to pay
rates on an empty property. Could you let the property
to a charity? The charity will receive
80% rate relief.
Even
if the let is for a short period, you may still benefit
as you will qualify for a 3 month or 6 month rate
free period when the property becomes vacant
again. The period of occupation must be at least six weeks
to qualify for a free period on vacation.
If
you have not already done so, you should submit a proposal
to alter the rating list - i.e. appeal against
your rateable value. You can do this yourself,
it costs nothing. However it is advisable to have a rating
surveyor act on your behalf to deal with the
appeal. They are experts in the field and will have the
skills, information, and experience that you may not have.
It is likely therefore, that they will achieve a better
result than you would on your own.
Make
sure your rating advisor is a member of the RICS
(Royal Institution of Chartered Surveyors) or the IRRV
(The Institute of Revenues Rating and Valuation).
Most
rating surveyors will base their fee on the reduction
they achieve in the rateable value or the reduction in
liability they secure up to a certain date. This may be
the savings in one year or perhaps the savings over the
life of the rating list. They may refer to actual savings
or notional savings, you should make sure you understand
the difference.
Most
rating surveyors will not charge any
'up front' fees and will only submit their bill when the
job is completed.
A
word of warning. There are some less
than reputable operators who will claim that
they will only charge you if the appeal is accepted. This
is a trick.
ALL
appeals are accepted. It is very easy to submit an appeal,
it is FREE, and they are always accepted.
You could do this yourself online
and it would only take about a minute.
When
you engage a rating surveyor, you are not paying them
to submit an appeal, you are paying for
their experience and expertise in dealing
with the appeal.
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