Non domestic rates, more commonly known as business rates, are taxes that businesses in the UK must pay on their commercial properties. These rates are based on the rateable value of the property and are used to fund local services such as schools, roads, and waste collection. However, when a commercial property becomes empty, the owners may be able to claim empty property relief on their non domestic rates.
Empty property relief is a scheme designed to provide some financial relief to businesses that have empty properties. The aim of the relief is to encourage property owners to bring their empty properties back into use, thereby boosting the local economy. There are different types of empty property relief available, depending on the specific circumstances of the property and its owner.
One of the most common types of empty property relief is the three or six-month exemption. This type of relief allows property owners to claim a full exemption from non domestic rates for the first three or six months that their property is empty. After this initial period, the property owner will have to start paying the full non domestic rates unless they qualify for another type of empty property relief.
Another type of empty property relief is the extended empty property relief. This relief is available for certain types of properties, such as industrial or listed buildings, and allows the property owner to claim a full exemption from non domestic rates for an extended period of time. The length of the exemption period varies depending on the specific circumstances of the property.
Property owners may also be able to claim small business rate relief on their empty properties. This relief is available to businesses with a rateable value of less than £15,000, and it can provide a substantial discount on non domestic rates. Property owners should check with their local council to see if they qualify for small business rate relief on their empty properties.
It is important to note that empty property relief is not automatic – property owners must apply for the relief and provide evidence to support their claim. The local council will assess the application and may carry out inspections to verify the property’s empty status. Property owners should keep records of any correspondence with the council regarding their empty property relief claim.
Property owners should also be aware that there are some exceptions to empty property relief. Certain types of properties, such as newly built properties, are not eligible for empty property relief. Property owners should check with their local council to see if their property qualifies for empty property relief.
Overall, empty property relief can provide much-needed financial support to businesses that are struggling with empty properties. By taking advantage of this relief, property owners can reduce their financial burden and potentially bring their empty properties back into use more quickly. It is important for property owners to fully understand the eligibility criteria for empty property relief and to keep detailed records of any communication with their local council regarding their claim.
In conclusion, non domestic rates empty property relief is a valuable scheme that can provide financial relief to businesses with empty properties. By understanding the different types of relief available and meeting the eligibility criteria, property owners can save money on their non domestic rates and potentially bring their empty properties back into use more quickly. Property owners should take advantage of this relief and work closely with their local council to successfully claim empty property relief.