When it comes to owning a commercial property, one of the biggest financial burdens can be the business rates These rates are imposed by the local government and are based on the rateable value of the property However, in some cases, property owners may find themselves owning an empty property and facing hefty business rates bills Fortunately, there are ways to avoid paying business rates on empty property legally
One option available to property owners is to apply for an exemption or relief There are several circumstances in which a property may be exempt from business rates, such as when it is undergoing major renovations or repairs In such cases, owners can apply for a temporary exemption until the property is back in use Similarly, properties that are in between tenants may also qualify for relief from business rates It is important to carefully review the criteria for exemptions and reliefs and provide all necessary documentation to support the application.
Another way to avoid business rates on empty property is to consider leasing the property to a charitable organization Charitable organizations are exempt from paying business rates on the properties they occupy, and by leasing the empty property to a charity, owners can benefit from this exemption This can be a win-win situation as the property owner avoids paying business rates while the charity gains access to a property at a reduced cost It is important to ensure that the charity is a legitimate organization and meets all the necessary criteria to qualify for the exemption.
Property owners can also consider demolishing the empty property to avoid business rates Empty properties that are scheduled for demolition may be eligible for a exemption from business rates avoiding business rates on empty property. Owners must obtain the necessary permits and approvals for demolition and provide evidence to the local government to qualify for this exemption It is important to note that this option may not be suitable for all properties and owners should carefully consider the costs and consequences of demolishing a property before proceeding.
Alternatively, property owners can consider selling the empty property to a developer Developers are often willing to purchase empty properties for redevelopment and may be able to take on the responsibility of paying the business rates By selling the property to a developer, owners can avoid the financial burden of business rates and potentially make a profit from the sale It is important to carefully negotiate the terms of the sale and ensure that the developer is reputable and able to carry out the redevelopment.
Owners of empty properties can also consider applying for a hardship relief to avoid paying business rates Hardship relief is available for properties that are causing financial hardship to the owner and are unable to be let out or sold Owners must demonstrate that they are facing financial difficulties and provide evidence to support their claim for hardship relief It is important to note that hardship relief is granted on a case-by-case basis and owners must provide all necessary information to support their application.
In conclusion, there are several legal ways to avoid paying business rates on empty property By applying for exemptions or reliefs, leasing the property to a charity, demolishing the property, selling it to a developer, or applying for hardship relief, property owners can reduce their financial burden and make the most of their empty property It is important to carefully consider all options and choose the one that best fits the specific circumstances of the property By taking proactive steps to avoid business rates, property owners can save money and potentially benefit from their empty property in the long run