Another lease query
Discussion
Just had to drop out of signing a lease for various reasons on professional advice, although working in there subcontract. That will now stop as I'm getting my own place independently.
At what point do you become liable for business rates? Once you are the lease holder?
Can you have someone from another company working in your leased property (on and off) without a sublease?
At what point do you become liable for business rates? Once you are the lease holder?
Can you have someone from another company working in your leased property (on and off) without a sublease?
Generally you will become liable once you sign the lease.
However business rates is an occupational tax. If you are in occupation ŷou will generally be legally liable, regardless of what your lease says (although councils will generally be fairly lax as long as they are getting the bill paid).
Most leases prohibit sub-letting of any sort. Landlords will resist any relaxation on this, but may be more amebiable to allowing sublets via licences not creating landlord and tenant rights...
However business rates is an occupational tax. If you are in occupation ŷou will generally be legally liable, regardless of what your lease says (although councils will generally be fairly lax as long as they are getting the bill paid).
Most leases prohibit sub-letting of any sort. Landlords will resist any relaxation on this, but may be more amebiable to allowing sublets via licences not creating landlord and tenant rights...
Doofus said:
I don't know where in Warwickshire you are, but a lot of councils around here will waive rates if the rateable value is below £6k. You have to apply for the waiver; you don't just get it automatically.
It's a mandatory scheme for small business's who occupy 1 building onlyExemption changed in last budget to £12k with a phased allowance up to £15k
surveyor said:
It's a mandatory scheme for small business's who occupy 1 building only
Exemption changed in last budget to £12k with a phased allowance up to £15k
I've just been negotiating on a lease for someone, and the key thing (for them) is that it's 100% relief at £6k, and it reduces to 0% at 12k.Exemption changed in last budget to £12k with a phased allowance up to £15k
Doofus said:
surveyor said:
It's a mandatory scheme for small business's who occupy 1 building only
Exemption changed in last budget to £12k with a phased allowance up to £15k
I've just been negotiating on a lease for someone, and the key thing (for them) is that it's 100% relief at £6k, and it reduces to 0% at 12k.Exemption changed in last budget to £12k with a phased allowance up to £15k
Briefing paper at http://www.parliament.uk/briefing-papers/sn06247.p...
surveyor said:
Doofus said:
surveyor said:
It's a mandatory scheme for small business's who occupy 1 building only
Exemption changed in last budget to £12k with a phased allowance up to £15k
I've just been negotiating on a lease for someone, and the key thing (for them) is that it's 100% relief at £6k, and it reduces to 0% at 12k.Exemption changed in last budget to £12k with a phased allowance up to £15k
Briefing paper at http://www.parliament.uk/briefing-papers/sn06247.p...
dfen5 said:
Is that pretty much guaranteed from 2017? If so that's great news for me, I can go for a slightly bigger premises in budget.
Yes its pretty much guaranteed, HOWEVER there is also a revaluation that takes effect on 1 April 2017 and therefore the rateable values of the properties you are looking at might change, so take care.dfen5 said:
My problem is the existing company told the council I was taking the place over before I'd actually signed anything. Rates bill comes in so I'll have to have a chat with the council as I'll be out of there soon.
I take it then both companies would not have to pay?
No the Council will only charge one person, although in some cases Councils have been known to seek to joint and severally charge people if they have more than one person who could be the occupier.I take it then both companies would not have to pay?
Under rating legislation occupation of part is occupation of the whole, therefore if you are the only occupier of part of a building and the rest is empty you would pay rates on the whole. It gets a whole lot more complicated where you are sharing occupation. In theory the VO should split the assessment between the two parts.
There is a lot of attention being paid to ensure the correct property is being valued at present.
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