Money off - Rate Relief

Charity Rate Relief

You may be able to claim charity rate relief if your organisation or business is any of the following:

• a registered charity
• a registered Community Amateur Sports Club
• a charity that is exempt from registration
• a sports club or social club
• a body connected with the Arts or similar that is not set up or run for profit.

How much relief can I get?

We can give you up to 100% relief on your business rates under the 1988 Local Government Act.

There are two kinds of relief:

• Mandatory
• Discretionary

What is the difference?

Mandatory relief

of 80% can be automatically given to registered charities. Registered Community Amateur Sports Clubs are also entitled to 80% relief from 1 April 2004 on any non-domestic property that is wholly or mainly used for the purposes of the club, or other such registered clubs. This can be added to by discretionary relief, giving up to 100% relief.

Discretionary relief

of up to 100% can be given to organisations that qualify under the Council’s policy about this relief.

How do I apply for charity relief?

To apply and get a copy of the Council’s current policy on giving discretionary relief, please click on the link Charity Rate Relief Relief or phone us on 01843 577557.

If my organisation qualifies for relief, what will happen afterwards?

Every three years we will ask you to send us a fresh application together with certified accounts, so we can check that you still qualify for relief.

If your organisation's  circumstances change, and it is obvious that the change will affect your entitlement to relief, then you must tell us straight away, in writing, what the changes are, giving full details. If you are in any doubt about any change, tell us anyway.

In some cases, if you fail to tell us of a change we may take legal action against you.

Charity gift shops

Special conditions apply to charity gift shops. To qualify for any relief:

• all or most of the premises must be used for the sale of goods donated to the charity; and 
• the profits of sale (after the deduction of expenses) must be used for the purposes of the charity

Periodically we will ask you to confirm that the goods being sold in the shop are mainly donated.

Rate relief for small businesses in rural areas

• Temporary increase in the level of Small Business Rate Relief effective from 1 October 2010 
  
  The Government is introducing a temporary increase in the level of Small Business Rate Relief (SBRR) available to eligible businesses. These changes will come into effect in October 2010. Meanwhile, you should ensure that you continue to pay your existing business rates bill. Read more at:
  • http://www.communities.gov.uk/documents/localgovernment/pdf/1517622.pdf
  
  

You may be able to claim Rate Relief for Small Businesses in Rural Settlements if your organisation or business is any of the following:

• a general store
• a Post Office
• a public house
• a petrol station
• a small business located in a village.

Which are the qualifying rural areas in Thanet?

Rural areas with a population of 3,000 or less qualify; currently, this includes the parishes of:

• Acol
• Cliffsend
• Manston
• Monkton
• Sarre
• St. Nicholas-at-Wade

Which village shops can get mandatory rate relief?

To qualify for 50% mandatory rate relief under the Village Shop Rate Relief Scheme, your property must:

• be in one of the above qualifying rural areas;
• have a rateable value of not more than £8,500;
• be all or part used as a general store or a Post Office, or both; and
• be either the only general store or the only Post Office in the rural area.

It is possible for both a general store and a Post Office in the same rural area to qualify for mandatory rate relief, if they both meet the conditions.

Which rural businesses may be able to get discretionary rate relief?

We may be able to give up to 100% relief to any general store, Post Office, public house or petrol station that qualifies for mandatory rate relief; also, to any other type of business as long as your property:

• is in one of the qualifying rural areas; (see above)
• has a rateable value of not more than £16,500; and
• is used for purposes which are of benefit to the local community.

Our decision will also take into account the interests of the Council Tax payers of the local area.

What is meant by a general store?

To qualify for mandatory relief, a general store must mainly sell both food and general household goods.

Only part of the property need be used as a general store. For example, the business of a general store and another business could be carried on side-by-side in one premises.

If there are two general stores in the same rural area, neither will qualify for mandatory relief, although, if either functions as a Post Office, relief for this can be claimed separately.

How do I apply for rural rate relief?

To apply and get a copy of the Council’s current policy on giving discretionary relief, please click on the link Small Business Rate Relief or phone the Revenues Office on 01843 577557.

Hardship Relief

Section 49 of the Local Government Finance Act 1988 gives Thanet District Council, as a billing authority, discretion to reduce or remit payment of rates where it is satisfied that the ratepayer would sustain hardship if it did not do so, and where it is reasonable for the Council to do so having regard to the interest of its Council Tax payers.

What are the criteria for granting Hardship Relief?

In making decisions on whether to award the relief the Council takes into account the following criteria:

• Each case is considered on its own merits
• Reduction or remission of rates on the grounds of hardship should be the exception rather than the rule
• The test of "hardship" is not strictly confined to financial hardship and that this, in itself, is not a deciding factor
• The loss of the business would reduce amenities of an area if it is the sole provider of a service in the area
• The loss of the business would worsen the employment prospects in the area
• The interests of the Council Tax payers of the area would be best served by awarding the relief. The case for a reduction or remission may outweigh the cost to tax payers
• Relief will only be granted for the period for which there is clear evidence of hardship for the ratepayer concerned

How do I apply for Hardship Relief?

To apply and get a copy of the Council's current policy on giving Hardship Relief, please click on the link Hardship Rate Relief application form  or phone us on 01843 577557

Revenues Office

E-mail:

business.rates@thanet.gov.uk

Phone: 01843 577557
from 9am to 5.30pm Monday to Thursday and 9am to 5pm Friday

Fax: 01843 577532

or Visit our offices