Business Rates & Small Business Rates Relief
If you are a business occupying commercial premises, you are likely to be liable to pay Business Rates. Business Rates is the commercial equivalent to council tax and paid to the local council that funds the services they provide.
The business rates you pay are calculated based on the rateable value of the premises you are in and then a multiplier is applied. This year, the multiplier is between 0.48 and 0.49 (depending on the business). For example if 1 West Street has a rateable value of £1000, the rates payable will be c. £490pa. The council will send you a bill when you notify them (or they become aware) of your occupation and the charge will be due in ten monthly instalments.
Small Business Rates Relief
Under a current government scheme running until March 2016 (at the earliest- the next review of this date will be in the Annual Budget) you may qualify for full or partial rate relief. You currently get 100% relief (doubled from the usual rate of 50%) if you occupy one property with a rateable value of £6,000 or less. The rate of relief will gradually decrease from 100% to 0% for properties with a rateable value between £6,001 and £12,000.
When you move into a property, it is important that you speak to the local council’s Non Domestic Rates Department and let them know that you have taken occupation so they can then either send you a rates demand or a form to complete to establish if you qualify for Small Business Rates Relief.
More information on this can be found here:-
https://www.gov.uk/apply-for-business-rate-relief/overview
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