Brentwood Borough Council Business - Business Rates - Rate Relief

Brentwood Borough Council Business - Business Rates - Rate Relief

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Brentwood Borough Council

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Rate Relief

If your property is unoccupied, in general, there will be no Business Rates to pay for the first three months for non-industrial properties and for 6 months for industrial properties. After this exemption period an empty property will be liable for 100 per cent of the occupied rate.

However, listed buildings, small properties with a rateable value of less than 2,600, properties owned by Charities and companies in administration are not liable for empty property rates.

A ratepayer is liable for the full non-domestic rate whether a property is wholly occupied or only partly occupied. Where a property is partly occupied for a short time, the local authority has discretion to award relief in respect of the unoccupied part. Full details are available on request from the council.

Small Business Rate Relief

The relief is only available to ratepayers with either (a) one property, or (b) one main property and other additional properties, providing those additional properties have rateable values less than 2,899.The rateable value of the property mentioned in (a) or the aggregate rateable value of all properties mentioned in (b), must be under 20,000

The level of Small Business Rate Relief for eligible ratepayers up to 31 March 2017 is as follows:

  • Rateable value up to 6,000 - no rates payable
  • Rateable value between 6,001 & 12,000 - tapered relief between 100% and 0%

From 01 April 2017 to 31 March 2022 the level is as follows:

  • Rateable value up to 12,000 - no rates payable
  • Rateable value between 12,001 - 15,000 tapered relief between 100% and 0%

Small business rate relief is calculated daily. The relief ends on the day the ratepayer or property no longer meets the qualifying conditions.

The scheme is funded through a supplement on the rate bills of those businesses not eligible for the relief. The supplement is built into the standard non-domestic rating multiplier. However, ratepayers of eligible business properties with rateable values up to 51,000 do not have to contribute towards the relief and will have their bills calculated using the lower small business non-domestic rating multiplier.

More detailed information can be found on the small business rate relief page.

Temporary Increase

A temporary increase in small business rate relief started on 1st October 2010. The measure doubles the usual rate of relief so that ratepayers with rateable values below 6,000 pay no rates at all for the period, while ratepayers with rateable values between 6,001 and not more than 12,000 receive tapered relief from 100% to 0%. There will be no adjustment to the multiplier.

Charitable Relief

Charities are entitled to relief from rates on any non-domestic property that is wholly or mainly used for charitable purposes. Registered Community Amateur Sports Clubs are also entitled to relief from rates on any non-domestic property that is wholly or mainly used for the purposes of that club, or that club and other such registered clubs. In both cases, relief is given at 80% of the bill. Brentwood Borough Council has discretion to give further relief on the remaining bill.

Brentwood Borough Council provides further support to local charities above and beyond the mandatory relief. This relief is discretionary and is financed in full by local taxpayers.

Applications for Charitable Relief can be made using our online Application for Mandatory/Discretionary Rate Relief for Charitable and non-profit making organisations form.

Rate Relief for Community Amateur Sports Clubs

If your sports club registers with HM Revenue & Customs (HMRC) as a Community Amateur Sports Club (CASC) you can benefit from various tax advantages, for example claiming back tax on Gift Aid donations, tax relief on the Corporation Tax you pay on income and capital gains, and non-domestic rates relief.

Community Action Sports Clubs get 80% mandatory rate relief.

To register as a CASC, your club must be set up with a formal constitution (for example its rules or memorandum and articles of association). The club's written constitution must require the club to meet certain conditions, and the club must also be able to show that it actually meets these conditions in practice.

The conditions are that:

  • the club must be open to the whole community
  • the club's main purpose must be to provide facilities for eligible sports, and to encourage people to take part in them
  • the club must be organised on an amateur basis

The club must also be able to show that:

  • it is set up and provides its facilities in an eligible area
  • it is managed by fit and proper persons

If your club would like to register as a CASC you'll need to apply to the HMRC CASC Unit using the CASC application form. Send your completed form, marked CASC Unit, with the following information to HMRC Charities:

  • your club's governing documents - such as your constitution, rules, memorandum and articles of association
  • your club's latest accounts
  • a copy of your club's prospectus - if there is one - and members' rulebook

Brentwood Borough Council provides further support to local Sports clubs above and beyond the mandatory relief. This relief is discretionary and is financed in full by local taxpayers. For details, please see the Discretionary Rate Relief page.

Rate Relief for Businesses in Rural Areas

Certain types of business in rural villages with a population below 3000 may qualify for rate relief of 50%. Businesses that qualify for this relief are the sole general store and the sole post office in the village, provided it has a rateable value of up to 8500; any food shop with a rateable value of up to 8500; and the sole pub and the sole petrol station in the village provided it has a rateable value of up to 12,500. Brentwood Borough Council has the discretion to give further relief on the remaining bill on such a property.

The council may decide to give up to 100% relief to any other business in such a rural village with a rateable value of up to 16,500 if it is satisfied that the business is of benefit to the community and having regard to the interests of the local council tax payers.

View the Rural Settlement Map

The Council will consider the following issues when deciding whether to award discretionary rate relief. This money is awarded from a limited fund paid for by local taxpayers.

a) Is situated in a qualifying rural settlement of 3,000 people or less

b) A top up of 50%, over and above the mandatory 50% relief, may be awarded to the following types of business:

  • The sole Public House in a settlement with a rateable value of up to 12,500.
  • The sole Petrol Filling Station in a settlement with a rateable value up to 12,500
  • The sole Post Office in a settlement with a rateable value up to 8,500
  • All food shops with a rateable value up to 7,000
c) Has a rateable value of not more than 16,500 and is of benefit to the community and whose loss would detrimentally affect the quality of village life. These businesses must also be in a rural settlement of 3,000 people or less as indicated on the rural settlement list.
d) The financial status of the applicant, for example the level of the organisation’s net cash assets. This is cash not applied or allocated for any project or initiative in pursuance of the organisation’s objectives.
e) Each application for relief will be considered on its own merits in accordance with national guidelines

Hardship Relief

The Council has discretion to give relief in special circumstances. The following issues will be considered:

a) The ratepayer must not be entitled to mandatory rate relief. (Charity or Rural Rate Relief)
b) The ratepayer must not be an organisation that could receive relief as a non-profit making organisation or as a community amateur sports club
c) The ratepayer must occupy the premises
d) The premises and organisation must be of significant benefit to the Borough.
e) The premises and organisation must relieve the Borough of providing similar facilities.
f) The ratepayer must provide facilities to certain priority groups such as elderly, disabled, minority groups, disadvantaged groups.
g) The ratepayer must provide significant employment or employment opportunities to residents of the Borough.
h) The ratepayer must provide residents of the Borough with such services, opportunities or facilities that cannot be obtained locally or are not provided by another organisation.
i) The ratepayer must demonstrate that relief will only be required for a short period and that they can evidence the business will be financially viable in the medium and long term.
j) The ratepayer must show that the organisation will comply with all legislative requirements and operate in an ethical, sustainable and environmentally friendly manner at all times.
k) Where a ratepayer can demonstrate that all of the above criteria are met, any application will have due regard to the financial status of the applicant when determining the level of relief granted.
l) The level of relief to be granted, if any, will range from 0% to 50% of the ratepayer’s liability.

 

Breadcrumb, my location

Rate Relief

If your property is unoccupied, in general, there will be no Business Rates to pay for the first three months for non-industrial properties and for 6 months for industrial properties. After this exemption period an empty property will be liable for 100 per cent of the occupied rate.

However, listed buildings, small properties with a rateable value of less than 2,600, properties owned by Charities and companies in administration are not liable for empty property rates.

A ratepayer is liable for the full non-domestic rate whether a property is wholly occupied or only partly occupied. Where a property is partly occupied for a short time, the local authority has discretion to award relief in respect of the unoccupied part. Full details are available on request from the council.

Small Business Rate Relief

The relief is only available to ratepayers with either (a) one property, or (b) one main property and other additional properties, providing those additional properties have rateable values less than 2,899.The rateable value of the property mentioned in (a) or the aggregate rateable value of all properties mentioned in (b), must be under 20,000

The level of Small Business Rate Relief for eligible ratepayers up to 31 March 2017 is as follows:

  • Rateable value up to 6,000 - no rates payable
  • Rateable value between 6,001 & 12,000 - tapered relief between 100% and 0%

From 01 April 2017 to 31 March 2022 the level is as follows:

  • Rateable value up to 12,000 - no rates payable
  • Rateable value between 12,001 - 15,000 tapered relief between 100% and 0%

Small business rate relief is calculated daily. The relief ends on the day the ratepayer or property no longer meets the qualifying conditions.

The scheme is funded through a supplement on the rate bills of those businesses not eligible for the relief. The supplement is built into the standard non-domestic rating multiplier. However, ratepayers of eligible business properties with rateable values up to 51,000 do not have to contribute towards the relief and will have their bills calculated using the lower small business non-domestic rating multiplier.

More detailed information can be found on the small business rate relief page.

Temporary Increase

A temporary increase in small business rate relief started on 1st October 2010. The measure doubles the usual rate of relief so that ratepayers with rateable values below 6,000 pay no rates at all for the period, while ratepayers with rateable values between 6,001 and not more than 12,000 receive tapered relief from 100% to 0%. There will be no adjustment to the multiplier.

Charitable Relief

Charities are entitled to relief from rates on any non-domestic property that is wholly or mainly used for charitable purposes. Registered Community Amateur Sports Clubs are also entitled to relief from rates on any non-domestic property that is wholly or mainly used for the purposes of that club, or that club and other such registered clubs. In both cases, relief is given at 80% of the bill. Brentwood Borough Council has discretion to give further relief on the remaining bill.

Brentwood Borough Council provides further support to local charities above and beyond the mandatory relief. This relief is discretionary and is financed in full by local taxpayers.

Applications for Charitable Relief can be made using our online Application for Mandatory/Discretionary Rate Relief for Charitable and non-profit making organisations form.

Rate Relief for Community Amateur Sports Clubs

If your sports club registers with HM Revenue & Customs (HMRC) as a Community Amateur Sports Club (CASC) you can benefit from various tax advantages, for example claiming back tax on Gift Aid donations, tax relief on the Corporation Tax you pay on income and capital gains, and non-domestic rates relief.

Community Action Sports Clubs get 80% mandatory rate relief.

To register as a CASC, your club must be set up with a formal constitution (for example its rules or memorandum and articles of association). The club's written constitution must require the club to meet certain conditions, and the club must also be able to show that it actually meets these conditions in practice.

The conditions are that:

  • the club must be open to the whole community
  • the club's main purpose must be to provide facilities for eligible sports, and to encourage people to take part in them
  • the club must be organised on an amateur basis

The club must also be able to show that:

  • it is set up and provides its facilities in an eligible area
  • it is managed by fit and proper persons

If your club would like to register as a CASC you'll need to apply to the HMRC CASC Unit using the CASC application form. Send your completed form, marked CASC Unit, with the following information to HMRC Charities:

  • your club's governing documents - such as your constitution, rules, memorandum and articles of association
  • your club's latest accounts
  • a copy of your club's prospectus - if there is one - and members' rulebook

Brentwood Borough Council provides further support to local Sports clubs above and beyond the mandatory relief. This relief is discretionary and is financed in full by local taxpayers. For details, please see the Discretionary Rate Relief page.

Rate Relief for Businesses in Rural Areas

Certain types of business in rural villages with a population below 3000 may qualify for rate relief of 50%. Businesses that qualify for this relief are the sole general store and the sole post office in the village, provided it has a rateable value of up to 8500; any food shop with a rateable value of up to 8500; and the sole pub and the sole petrol station in the village provided it has a rateable value of up to 12,500. Brentwood Borough Council has the discretion to give further relief on the remaining bill on such a property.

The council may decide to give up to 100% relief to any other business in such a rural village with a rateable value of up to 16,500 if it is satisfied that the business is of benefit to the community and having regard to the interests of the local council tax payers.

View the Rural Settlement Map

The Council will consider the following issues when deciding whether to award discretionary rate relief. This money is awarded from a limited fund paid for by local taxpayers.

a) Is situated in a qualifying rural settlement of 3,000 people or less

b) A top up of 50%, over and above the mandatory 50% relief, may be awarded to the following types of business:

  • The sole Public House in a settlement with a rateable value of up to 12,500.
  • The sole Petrol Filling Station in a settlement with a rateable value up to 12,500
  • The sole Post Office in a settlement with a rateable value up to 8,500
  • All food shops with a rateable value up to 7,000
c) Has a rateable value of not more than 16,500 and is of benefit to the community and whose loss would detrimentally affect the quality of village life. These businesses must also be in a rural settlement of 3,000 people or less as indicated on the rural settlement list.
d) The financial status of the applicant, for example the level of the organisation’s net cash assets. This is cash not applied or allocated for any project or initiative in pursuance of the organisation’s objectives.
e) Each application for relief will be considered on its own merits in accordance with national guidelines

Hardship Relief

The Council has discretion to give relief in special circumstances. The following issues will be considered:

a) The ratepayer must not be entitled to mandatory rate relief. (Charity or Rural Rate Relief)
b) The ratepayer must not be an organisation that could receive relief as a non-profit making organisation or as a community amateur sports club
c) The ratepayer must occupy the premises
d) The premises and organisation must be of significant benefit to the Borough.
e) The premises and organisation must relieve the Borough of providing similar facilities.
f) The ratepayer must provide facilities to certain priority groups such as elderly, disabled, minority groups, disadvantaged groups.
g) The ratepayer must provide significant employment or employment opportunities to residents of the Borough.
h) The ratepayer must provide residents of the Borough with such services, opportunities or facilities that cannot be obtained locally or are not provided by another organisation.
i) The ratepayer must demonstrate that relief will only be required for a short period and that they can evidence the business will be financially viable in the medium and long term.
j) The ratepayer must show that the organisation will comply with all legislative requirements and operate in an ethical, sustainable and environmentally friendly manner at all times.
k) Where a ratepayer can demonstrate that all of the above criteria are met, any application will have due regard to the financial status of the applicant when determining the level of relief granted.
l) The level of relief to be granted, if any, will range from 0% to 50% of the ratepayer’s liability.