Scottish Business Rates Revaluation 2010
The Scottish Government has announced the rateable values and the full package of relief arrangements for the non-domestic rating revaluation 2010.
Business Rate Relief Arrangements
The Scottish Government announced further relief schemes arising from the revaluation, including an expansion of the Small Business Bonus Scheme and a new non-domestic rates relief for renewable energy producers. However, the Government will not be introducing a transitional relief scheme in Scotland for the 2010 revaluation.
Rateable values
The Scottish Government has also published the draft rateable values for non-domestic properties to apply from 1 April 2010. The draft rateable value figures are now available on the Scottish Assessors Association website (www.saa.gov.uk). Retailers have less than 50 days to plan their finances before the revaluation takes effect.
The Scottish Ratepayers Forum advises that the values are only proposed figures which may be altered when the final Revaluation Roll is published. Valuation Notices will be issued during the week commencing 15 March 2010 and Summary Valuations will be available for the majority of shops, offices and industrials at that time.
2010 Revaluation
Proposed Values
New rateable values will come into effect on 1 April 2010 as part of a statutory five year cycle of Revaluations. Draft proposed values for properties in Scotland are now available on the Scottish Assessors Association website www.saa.gov.uk and can be checked by using the Rateable Value search facility.
The Scottish Government has announced their rates relief packages and rates poundage, which together with your rateable value will allow you to estimate your rates payable for the financial year 2010/11. Further information is available on the Scottish Government website www.scotland.gov.uk/revaluation
The amount of rates payable is the rateable value multiplied by the rate in the pound set by the Scottish Government, adjusted in accordance with any reliefs applicable. From 1st April 2010 the poundage has been set at 40.7p with an uplift of 0.7p for large subjects (those over £35,000). The current rate poundage is 48.1p with a supplement of 0.4p for properties with a rateable value over £29,000.
The thresholds of the Small Business Bonus scheme will be increased:- please refer to the small business bonus scheme post on this website.
You can estimate your rates payable via the SAA website by first using the Rateable Value Search facility to obtain the draft proposed rateable value for your property and then by using the Rates Calculator.
Revaluation
Revaluation is the regular review of the rateable values of all business and non-domestic properties. Assessors are required by law to carry out a revaluation of such properties every 5 years. New rateable values arising from the most recent revaluation will take effect from 1 April 2010.
The Assessor must determine a Net Annual Value for every non-domestic property. In broad terms, the Net Annual Value is the Assessor’s assessment of the annual rent for a property, on the assumption that it was available on the open market on a set date. Rateable Value is derived from the Net Annual Value and for the majority of properties Rateable Value and Net Annual Value are the same. By law the values for the 2010 revaluation are based on a valuation date of 1 April 2008 and reflect market conditions that existed at that time.
Appeal Procedure
You cannot appeal against a proposed 2010 valuation until it becomes a final value and a valuation notice has been issued. The valuation notice will provide details of how to make an appeal.
However, if you have reason to believe that the draft valuation is incorrect you may contact your local Assessor’s office to discuss the matter. You may be able to reach agreement with the Assessor without having to submit a formal appeal.
If you do not agree with the outcome of your discussions with the Assessor you can make an appeal on or after 1 April 2010.
The final date for lodging an appeal in connection with the 2010 Revaluation is 30 September 2010.
Scottish Grocers Federation