When it comes to running a successful business, there are many costs to consider. One of the major expenses for business owners is paying business rates, which are taxes levied on non-residential properties to help fund local services. However, there is a special exemption for empty properties known as the business rates empty property exemption.
The business rates empty property exemption allows business owners a break from paying business rates on their property when it is empty. This exemption was put in place to help encourage property owners to bring their empty properties back into use, rather than leaving them vacant and unused. This not only benefits the property owner by saving them money on taxes, but also helps to revitalize communities by ensuring that properties are being utilized and contributing to the local economy.
In order to qualify for the business rates empty property exemption, certain criteria must be met. The property must be completely empty, meaning it cannot be used for any purpose at all. This includes both commercial and industrial properties, as well as any other non-residential properties. The exemption period varies depending on the type of property, but generally lasts for three months for industrial properties and six months for commercial properties.
It’s important to note that the exemption period starts from the date that the property becomes empty, not from the date that the owner notifies the local council. This means that property owners must act quickly to inform the council of the empty status of their property in order to take advantage of the exemption period.
There are also some exceptions to the Business Rates Empty Property Exemption. Properties that are unoccupied due to a legal dispute, properties that are being used for storage purposes, and properties that are listed buildings are not eligible for the exemption. Additionally, properties that are left empty intentionally in order to avoid paying business rates will not qualify for the exemption.
While the Business Rates Empty Property Exemption can provide some relief for property owners, it’s important to remember that the exemption is only temporary. Once the exemption period expires, business rates will need to be paid on the property as usual. This means that property owners should use the exemption period wisely to either bring their property back into use or explore other options for the property.
There are several ways that property owners can take advantage of the Business Rates Empty Property Exemption. One option is to refurbish the property and make it more attractive to potential tenants. This could involve updating the property’s amenities, improving its energy efficiency, or making other improvements to increase its appeal. By investing in the property during the exemption period, property owners can increase the likelihood of finding a tenant once the exemption expires.
Another option is to explore alternative uses for the property. For example, a commercial property that is struggling to find tenants could be converted into residential units or used for a different type of business. By thinking outside the box and considering different uses for the property, property owners can maximize the potential of their empty property and make the most of the exemption period.
Overall, the Business Rates Empty Property Exemption is a valuable tool for property owners looking to save money on their business rates. By understanding the criteria for the exemption and exploring ways to bring their empty property back into use, property owners can take advantage of this temporary relief and ensure that their property is contributing to the local community.