Commercial property taxes – business rates
Business rates are charged on most commercial properties. The tax payable is calculated using the rateable value of the premises and the business rate multiplier. There can be scope to appeal against your rates if you think the rateable value was wrongly assessed or there has been a substantial change to your commercial property.
If you own a commercial property, you are liable for the business rates. If you rent a business property, the terms of your lease or rental agreement should make it clear whether you or your landlord is responsible for paying the business rates. Complications may arise if you use part of your home for business. Depending on the circumstances, you may become liable for business rates.
Business rates are largely inevitable, though there are a few exemptions for certain types of business property, such as agricultural buildings. There are also reliefs for small businesses and businesses whose rateable value has increased substantially. Empty business property tax relief is given for three months (or longer in some cases).
Charitable rate relief – Charities and community amateur sports clubs can apply for charitable rate relief of up to 80% if a property is used for charitable purposes.
Disclaimer:- The information contained herein is given by way of general guidance only and no action should be taken solely on the basis of the information contained herein. The Avanti Group (UK) Ltd will be pleased to provide further guidance on the issues, and how they might affect you. No liability is accepted by the firm for any action taken without seeking appropriate professional advice.