As a property owner, there are various costs associated with maintaining and owning a property, one of which is business rates. Business rates are taxes paid on non-residential properties in the UK, and they can be a significant financial burden, especially for owners of empty properties. However, there is a relief scheme in place to help alleviate this burden known as empty property rate relief.
empty property rate relief is a scheme that provides property owners with a temporary exemption from paying business rates on properties that are empty for a certain period of time. This relief can be a significant help to property owners who may be struggling to find tenants or buyers for their empty properties.
There are different types of empty property rate relief available to property owners, depending on the type of property and the circumstances surrounding its vacancy. The three main types of relief are:
1. Empty Property Relief: This relief applies to most empty properties and provides owners with a temporary exemption from paying business rates for a specified period. In most cases, this period is three months for commercial properties and six months for industrial properties. After this initial period, owners may still be eligible for a further three months of relief, although this is not guaranteed.
2. Listed Building Relief: This relief applies to listed buildings that are empty and undergoing repairs or structural alterations. Owners of listed buildings can apply for a 100% exemption from business rates for as long as the building remains unoccupied.
3. Charitable Relief: This relief applies to properties owned by registered charities that are empty and held for charitable purposes. Charities are entitled to an 80% discount on business rates for properties that are empty for any reason.
It’s important for property owners to understand the eligibility criteria for Empty Property Rate Relief and to apply for relief as soon as their property becomes vacant. Failure to apply for relief could result in the property owner being liable for full business rates on the empty property.
In order to qualify for Empty Property Rate Relief, property owners must meet certain criteria. These criteria include:
– The property must be unoccupied.
– The property must not be used for any business purposes.
– The property must be capable of being used as a business premises.
– The property must not be in a state of disrepair that would prevent it from being used as a business premises.
– The property must not have been empty for more than three or six months, depending on the type of property.
Property owners can apply for Empty Property Rate Relief through their local council. The application process may require owners to provide evidence of the property’s vacancy and condition, as well as any relevant documents relating to the property’s ownership.
It’s important for property owners to keep their local council informed of any changes to the property’s vacancy status. If a property becomes occupied after receiving Empty Property Rate Relief, owners must notify the council immediately to ensure that they are not overpaying business rates.
In some cases, property owners may be able to appeal a decision made by the local council regarding their eligibility for Empty Property Rate Relief. Appeals can be made to the Valuation Tribunal, which is an independent body that deals with disputes over business rates and other property-related issues.
Overall, Empty Property Rate Relief can be a valuable resource for property owners who are struggling to find tenants or buyers for their empty properties. By understanding the different types of relief available and the eligibility criteria, property owners can take advantage of this scheme to help reduce their financial burden and bring their properties back into productive use.