When it comes to owning and managing a property, one of the biggest concerns for business owners is the cost of business rates. Business rates are taxes that are paid on non-domestic properties, including shops, offices, and warehouses. However, there are ways to avoid paying business rates on empty properties.
Empty property relief is a scheme provided by the government that allows property owners to claim relief on their business rates if their property is empty. This can provide much-needed financial relief for businesses that are struggling to find tenants or are in the process of refurbishing their property.
There are a few key ways to avoid paying business rates on empty property:
1. Small business rate relief: If your property has a rateable value of less than £15,000, you may be eligible for small business rate relief. This means that you may not have to pay any business rates at all, or you may be eligible for a discount on your rates.
2. Exempt properties: Some types of properties are exempt from business rates, such as agricultural land and buildings, fish farms, and places of worship. If your property falls into one of these categories, you may not have to pay business rates at all.
3. Transitional relief: If your property has recently become vacant, you may be eligible for transitional relief. This means that you may not have to pay the full amount of business rates for a certain period of time while you find a new tenant or refurbish the property.
4. Empty property relief: The most common way to avoid paying business rates on empty property is to claim empty property relief. This allows property owners to claim relief on their business rates for a certain period of time while their property is empty. The amount of relief that you can claim will depend on the type of property and the length of time that it has been empty.
It is important to note that empty property relief is not automatic – you must apply for it through your local council. You will need to provide evidence of why the property is empty, such as evidence of attempts to find a tenant or evidence of refurbishment works.
There are also some important things to keep in mind when it comes to avoiding business rates on empty property:
1. Keep your property secure: Empty properties can be a target for vandalism and theft, so it is important to keep your property secure. This could include installing security measures such as alarms and CCTV cameras, as well as regular inspections of the property.
2. Maintain your property: Keeping your property in good condition can help to attract potential tenants and can also help to prevent it from falling into disrepair. This can also help to demonstrate to your local council that you are actively trying to find a tenant for the property.
3. Consider short-term lets: If you are struggling to find a long-term tenant for your property, you may want to consider short-term lets to generate some income while the property is empty. This can also help to prevent your property from becoming a target for vandalism and theft.
In conclusion, there are several ways to avoid paying business rates on empty property, including small business rate relief, exempt properties, transitional relief, and empty property relief. By taking these steps and keeping your property secure and well-maintained, you can reduce the financial burden of business rates on your empty property. So, make sure to explore your options and take advantage of any relief schemes that may be available to you.
With these tips in mind, you can navigate the world of business rates on empty property with confidence and ease, ensuring that you are making the most of your financial resources and protecting your property investment.’avoiding business rates on empty property‘