Business rates revaluation – don’t leave it too late

Published on: 27th February 2017

From April 2017, the business rates revaluation will result in thousands of business seeing a change in the rateable values of their properties, and the leisure sector will be significantly affected. Tim Dyson, business rates expert, discusses the changes and how they could impact owners of leisure properties in the North East. 

Unlike many property sectors in the North East, leisure has performed reasonably well in recent years, and this may be a key factor in the calculation of rateable values. As these are based on values from two years ago, much could have changed in prior years or since then, and itis therefore essential that these are as accurate as possible – this may mean amending the facts or dismissing estimates.

Pubs and licensed premises are subject to specific criteria, including the type of premises, location and the services offered, to establish fair maintainable trade, with the rateable value calculated according to rents paid for similar pubis, although for data protection purposes this information is not public. All of this understandably means that values can vary greatly between establishments.

For businesses that feel their prospective rateable values are too high, there is an option to contest the figure, but this is effectively a one-shot opportunity. If values were based on a particularly profitable year and are not a true reflection, the Valuation Office has launched the Check, Challenge, Appeal function to resolve this.

However, this process places a strong emphasis on appeals being well founded and supported by evidence, making them more forensic from the outset. While it may be tempting to conduct this research yourself, the scarcity of information, length of the process and stringency applied will mean all but the most convincing, well-rounded cases are dismissed.

If businesses cannot provide evidence of fair, maintainable trade by a competent operator – excluding external factors and promotions – the Valuation Office is unlikely to concede a reduction. Expert advice and approaches must be taken, or an unavoidable rates increase may be enacted.

To help businesses facing significant rate rises after the seven-year gap between revaluations, a transitional process is in place to stagger the increases and cap any yearly hikes. However, this cap has risen considerably from previous revaluations in the first couple of years. A reduced current RV may have a knock-on effect on saving.

With businesses having until March 31 to appeal, time is of the essence, and with thousands of pubs, clubs and restaurants set to be affected, the DIY approach may not be best if a sting in the tail is to be avoided.

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Businesses in England & Wales could lose out on business rates refunds

Since the last business rates revaluation in 2010, the Valuation Office Agency (VOA) has received over one million appeals from businesses that are thought to be overpaying rates. With the new rating list set to be published on 1 April 2017, businesses now have just two weeks to challenge their current rates liability and potentially get a refund. After 31 March 2017, the Valuation Office Agency will not consider any appeals for business rates paid over the past seven years.

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Since the last business rates revaluation in 2010, the Valuation Office Agency (VOA) has received over one million appeals from businesses that are thought to be overpaying rates.

With the new rating list set to be published on 1 April 2017, businesses now have just two weeks to challenge their current rates liability and potentially get a refund. After 31 March 2017, the Valuation Office Agency will not consider any appeals for business rates paid over the past seven years.

[fulltext] =>

According UK Government statistics, there are 1.96m commercial rateable properties in England and Wales, meaning hundreds of thousands are unlikely to have been assessed by an independent rating advisor to determine incorrect rates liability.

If you are yet to appeal your rates liability from the 2010 rating list, please contact your local business rates advisor immediately.

Click here for further information about the 2017 business rates revaluation.

Contact

Click on your region for contact details

North East - Richard Farr

Yorkshire & Midlands - Robert Brown

North West - Simon Heather

London & the South - Matthew Midwinter

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Our guide to reducing your business rates by clicking here.

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Video Guide to the 2017 Business Rates Revaluation

We have launched a seven video guide to the April 2017 Business Rates Revaluation. With the April 2017 business rates revaluation approaching, we have created a video series to help you understand what will be happening over the coming months, how the revaluation could affect your business and what you can do to plan for it.  

Read More....

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We have launched a seven video guide to the April 2017 Business Rates Revaluation.

With the April 2017 business rates revaluation approaching, we have created a video series to help you understand what will be happening over the coming months, how the revaluation could affect your business and what you can do to plan for it.

 

[fulltext] =>

 

We have launched a seven video guide to the April 2017 Business Rates Revaluation.

 Our short videos look at the following questions:

 

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Business Rates

Sanderson Weatherall Rating specialists are RICS and IRRV qualified surveyors that can offer a comprehensive range of Rating services to clients including Rating Appeals, Rating Valuations, Rates Management and Rates Audit, together with cutting edge advice on Empty Rates mitigation. Regarded as experts in the field, all our senior staff are members of the Rating Surveyors' Association and are able to offer the very best Rates advice on the accuracy of Rating assessments and resultant Business Rates liabilities. Through our experts' memberships of the Institute of Revenues, Rating and Valuation we are also happy to assist clients who have international local property tax liabilities. We participate in the activities of both of these professional bodies at the highest level and negotiate with government on the introduction of all new non domestic rating proposals. On the 1st April 2017 the new rating lists were published across England and Wales and from that date, businesses looking to challenge their business rates were required to do so through HMRC’s Government Gateway. If you don’t currently have an account then please follow the steps in our guide to setting up a Government Gateway account, registering properties and appointing an agent here.    Contact Us

Read More....

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Sanderson Weatherall Rating specialists are RICS and IRRV qualified surveyors that can offer a comprehensive range of Rating services to clients including Rating Appeals, Rating Valuations, Rates Management and Rates Audit, together with cutting edge advice on Empty Rates mitigation.

Regarded as experts in the field, all our senior staff are members of the Rating Surveyors' Association and are able to offer the very best Rates advice on the accuracy of Rating assessments and resultant Business Rates liabilities. Through our experts' memberships of the Institute of Revenues, Rating and Valuation we are also happy to assist clients who have international local property tax liabilities. We participate in the activities of both of these professional bodies at the highest level and negotiate with government on the introduction of all new non domestic rating proposals.

On the 1st April 2017 the new rating lists were published across England and Wales and from that date, businesses looking to challenge their business rates were required to do so through HMRC’s Government Gateway.

If you don’t currently have an account then please follow the steps in our guide to setting up a Government Gateway account, registering properties and appointing an agent here. 

 

Contact Us

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