Business Rate Reductions
If you own a business you may be eligible for a reductions in your business rates.
Examples of reductions are transitional relief, empty properties, charity relief, rural rate relief and hardship relief. We provide advice on eligibility for rate reductions and will provide application forms and process applications for reductions.
Here are the reductions we offer
Small Business Bonus Scheme
The small business bonus scheme provides a percentage of rating relief for a single property or combination of properties within Scotland with a combined rateable value of £18,000 or less. The amount of relief available in 2010/11 is as follows:
Rateable Value Relief 2010-11
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Combined rateable value of all business properties in Scotland
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Percentage relief available, subject to eligibility
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Up to £10,000
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100%
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£10,001 to £12,000
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50%
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£12,001 to £18,000
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25%
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The amount of relief available in 2011/12 is shown below. Additionally businesses with multiple properties whose cumulative RV is £25,000.00 or less will be eligible for relief of 25% for each property with an RV less than £18,000.00.
Rateable Value Relief 2011-12
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Combined rateable value of all business properties in Scotland
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Percentage relief available, subject to eligibility
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Up to £10,000
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100%
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£10,001 to £12,000
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50%
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£12,001 to £18,000
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25%
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Eligibility for the Small Business Bonus Scheme is based on the combined rateable value of all your business properties in Scotland; this must include both occupied and unoccupied properties. Relief is awarded on application, therefore if you wish to apply for relief then please get in touch with us.
Prior to the Small Business Bonus Scheme, the Small Business Rates Relief scheme was in operation from 1 April 2003 to 31 March 2008. If you wish any further information on that scheme then please get in touch with us.
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Empty Property
We can award 100% relief for up to 3 months where a property is empty. After 3 months the relief is reduced to 50%, and you then have to pay the remaining 50%.
The following are exempt from 50% rating (i.e. they will continue to receive 100% relief after the initial 3 months): industrial properties, properties with a rateable value of less than £1,700, properties empty due to death or insolvency, properties prohibited by law from occupation (e.g. where a building warrant has been obtained), properties under compulsory purchase order, properties with a preservation order, listed buildings and ancient monuments.
To apply for this reduction fill in the empty property relief form (Word, 37Kb)
Short-Term Part-Occupied
An industrial property, which has been partly occupied for between one month and three months can receive rating relief.
Only one claim can be made against a property and relief applies from the date of application.
Claims can only be considered where the rateable value of the unoccupied part of the premises is equal to or greater than 5 per cent of the total rateable value of the property, or £1,500 whichever is less.
It should be noted that the presence of "mothballed" plant and machinery does not necessarily disqualify.
To apply for this reduction request the part-occupied property relief form (Word, 33Kb)
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Registered Charities
Registered charities, or trustees for a charity that use its business premises wholly or mainly for the purposes of the charity, may be eligible for an 80% reduction in their rates bill.
We also operate a discretionary relief scheme where registered charities or trustees of a charity can apply for an additional 20% relief.
To apply for this reduction request the Mandatory Rates Relief Application Form (Word, 35Kb)
H3>Non-registered Charities
An organisation that is not established or conducted for profit and whose main objective is:
charitable, philanthropic, religious, concerned with education, social welfare, science, literature or the fine arts, for the purposes of recreation (e.g. unlicensed sports clubs) may be eligible for between 20% to 100% discretionary relief of rates.
To apply for this reduction request the Discretionary Rates Relief Application Form (Word, 40Kb)
Licensed and Unlicensed Sports Clubs
From 1 April 2005, before any sports club in North Ayrshire can be considered for rate relief, it must:
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demonstrate through its constitution and membership that it operates an equal opportunities policy
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be registered with the controlling body for clubs of that type
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the sport must be recognised by the Scottish Sports Council.
Unlicensed clubs that meet these conditions will receive 100% discretionary relief. Licensed clubs will receive 50% discretionary relief, with a further 10% if their turnover is less than £30,000 per year.
Sports clubs registered with the Inland Revenue as Community Amateur Sports Clubs (CASC) will be entitled to 80% mandatory relief.
The benefits of registration are that the club would be entitled to relief of corporation tax if turnover is below £30,000 and 80% mandatory relief of rates. Full information about registration, conditions of the scheme and the benefits available are on the Inland Revenue website .
A CASC will be entitled to 80% mandatory relief. If unlicensed, this will be increased to 100% and if licensed with a turnover below £30,000 increased to 90%. Clubs that are not CASC registered but have equal opportunity policies in place will be entitled to 100% discretionary relief if unlicensed and 50% if licensed, increased to 60% with a low turnover.
To apply for this reduction request the Licensed Sports Relief Application Form (Word, 38Kb)
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Rural Shop or Post Office
Mandatory relief of 50% can be awarded to a post office or general store in a designated rural community of less than 3,000 people.
To qualify as a Post Office:
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the rateable value must not exceed £8,500,
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the property must be used wholly or partly as a Post Office, within the meaning of the Post Office Act, 1953,
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the Post Office must be the only one in a designated rural community.
To qualify as a general store:
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the rateable value must not exceed £8,500,
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the ratepayer must be involved wholly or mainly in the retail sale of food for human consumption (excluding confectionery) and general household goods,
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the general store must be the only one in a designated rural community.
Mandatory relief of 50% may also be awarded to petrol stations, small hotels and public houses in a designated rural community of less than 3,000 people providing the rateable value of the property does not exceed £12,750.
To apply for this reduction request the Mandatory Rural Relief Application Form (Word, 34Kb)
We have discretionary powers to relieve all or part of the rating liability of any property in a rural settlement where the rateable value is below £17,000. The powers are used to relieve the rates on schools, village halls, car parks, public conveniences and similar properties of general benefit to the community.
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Disabled Persons
Relief of rates can be granted for an organisation that provides training, welfare or care for disabled persons.
Institutions whose primary purpose is to provide treatment such as hospitals, surgeries or dental surgeries are not eligible, as the definition of care does not extend to medical care.
The amount of relief awarded depends on the rateable value associated with the provision of training, welfare or care.
To qualify for relief the premises must be used wholly or mainly for one of the following purposes, or for an ancillary purpose. Ancillary purposes could include for example, office space or a laundry or a canteen whose major purpose is to provide services for the premises on which relief is claimed.
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the provision of residential accommodation for the care or after-care of disabled persons or persons suffering from illness (care does not include the provision of medical, surgical or dental treatment),
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the provision of facilities for training, or keeping suitably occupied, disabled persons or persons suffering from illness,
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the provision of Welfare Services for disabled persons,
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the provision for disabled persons of facilities for employment or work in terms of Section 15 of the Disabled Persons (Employment) Act 1944,
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the provision of sheltered employment by a local authority in terms of Section 3 (1) of the Disabled Persons (Employment) Act 1958.
An application for a nursing home requires detail of patients, the nature of their illness and also details of the number and type of staff. It is not essential that staff possess professional nursing or medical qualifications.
Please use the link below to request the appropriate form (if your application is for a nursing home please complete and return the two application forms you will be sent, otherwise only complete the main application form).
To apply for this reduction request the Disabled Rates Relief Application Form (Word, 48Kb)
Renewable Energy Generation Relief Scheme 2010/11
The Scottish Government introduced the Renewable Energy Generation Relief Scheme with effect from 01.04.10. The scheme provides Business Rates Relief to renewable energy providers who are solely concerned with the production of heat and power (or both) from the following sources.
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Biomass
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Biofuels
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Fuel Cells
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Photovoltaics
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Water (including waves and tides, but excluding production from the pumped storage of water)
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Wind
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Solar Power
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Geothermal sources
Please note that Combined Heat and Power (CHP) systems are only considered to be renewable it they use the sources of energy listed above and have an electrical capacity of 50 kilowatts or less.
The level of Renewable Energy Generation Relief available depends on the combined Rateable Values of all your businesses in Scotland.
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Combined Rateable Value of all Business Properties In Scotland
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Percentage relief (%)
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up to £145K
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100
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up to £430K
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50
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between £430K and 860K
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25
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between £860K and £4m
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10
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greater than 4m
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2.5
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The exact level of relief awarded will depend on:
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the combined Rateable Value of all your business properties in Scotland (either occupied or unoccupied)
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whether or not the property is eligible for one of the existing Rate Relief schemes.
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the level of any other public service assistance received by your business (see State Aid below)
State Aid
Applicants should note that the Renewable Energy Generation Relief which they are applying for is granted as de minimis aid for State Aid purposes. If your business has received other public sector assistance in excess of 200,000 Euro (approximately £143,000) over a rolling three year period (this is the de minimis limit for State Aid), it is possible you may not qualify for relief under this scheme. Public sector assistance may be in the form of lottery funding or tax exemptions such as Rates Relief. If you consider that you have already received in excess of, or close to, this sum over the past three years then please attach details with this application.
If there is any change in your circumstances which would affect your eligibility for the scheme then you must inform the Council as soon as possible.
Renewable Energy Generation Relief Scheme Application Form (Word, 57Kb)
Renewable Energy Generation Relief Scheme Application Form (PDF, 40Kb)
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