There are two principal factors which contribute to the rates bill received by every non-domestic ratepayer; the rateable value of the property and the business rates poundage (or non- domestic rate) fixed by the Scottish Government. Actual liability will vary dependent on other factors such as charitable and vacant property reliefs etc.
The amount of rates payable is calculated by multiplying the the rateable value by the poundage rate. Assessors are responsible for determining only the rateable value. Your local Council is responsible for rates collection and the administration of the various reliefs or discounts which may be available.
For 2016/2017 the poundage rate was set at 48.4p and the supplement for properties with a rateable value greater than £35,000 was set at 2.6p. The Public Health Supplement for retail properties with a rateable value of £300,000 or more which sell both alcohol and tobacco is set at 13p.
From 1 April 2010 levels of rates relief under the Small Business Bonus Scheme have been set at 100% for eligible properties with a combined Rateable Value (RV) of up to £10,000, 50% for those with a combined RV between £10,001 and £12,000 and 25% for those with a combined RV between £12,001 and £18,000. Additionally, businesses with multiple properties whose cumulative RV is £25,000 or less will be eligible for relief of 25% for each property with a rateable value less than £18,000.
However, the relief will be subject to the operation of other reliefs, such as empty property relief; rural rate relief; charitable rate relief; disabled persons rate relief; and discretionary relief for not-for-profit recreation clubs. You should contact your local Council to discuss any relief you may be entitled to.
For more information about the Scottish Government’s current position regarding rates payments etc click on the link below.