Renting a Workshop/Small Industrial Unit
Discussion
Thinking of renting out a small industrial unit/workshop for keeping/working on cars/bikes, purely personal use/hobby.
What do I have to pay in the way of council tax/business rates if I do this? Can't seem to find any information on it anywhere.
The unit/land in question is part of a farm if that's any significance. There are other bigger units next to it that are used commercially (body shop, taxi firm).
What do I have to pay in the way of council tax/business rates if I do this? Can't seem to find any information on it anywhere.
The unit/land in question is part of a farm if that's any significance. There are other bigger units next to it that are used commercially (body shop, taxi firm).
I think that if its industrial premises, you will have to pay industrial rates.
A chap with a unit by me just stores a couple of classic cars in it (he is rich though, so doesn't really care about the money), and he pays standard industrial for the area.
I'd suggest you ring the council concerned, and get the info straight from the horses mouth
A chap with a unit by me just stores a couple of classic cars in it (he is rich though, so doesn't really care about the money), and he pays standard industrial for the area.
I'd suggest you ring the council concerned, and get the info straight from the horses mouth
Have a look at the Valuation Office website:
http://www.voa.gov.uk/
If the building has been assessed you will find the rateable value there.
http://www.voa.gov.uk/
If the building has been assessed you will find the rateable value there.
Yes you will have to pay business rates, as it is not an appurtenance to your dwelling unless you live in the farm!
What you will need to do is find out the Rateable Value. Details can be found on the VOs website at www.voa.gov.uk. If it is not assessed then you may wish to keep quite. However if the VO find you certainly before 31/3/10 and possibly up to 31/3/11 they could backdate the rates to the date you took occupation I'd have to check.
If it is the only property you pay business rates on and the RV is less than £10,000 you'll get a discount on the rates as well. Maximum discount is 50% at a RV of £5,000.
Feel free to ask any questions. Incdnentially the RV is suppossed to represent the annual rental value of the property as at 1 April 2003. There is a revaluation in 2010 which will base RVs on rents as at 1 April 2008. Worth bearing in mind when agreeing a rent now!
Feel free to ask more questions!
What you will need to do is find out the Rateable Value. Details can be found on the VOs website at www.voa.gov.uk. If it is not assessed then you may wish to keep quite. However if the VO find you certainly before 31/3/10 and possibly up to 31/3/11 they could backdate the rates to the date you took occupation I'd have to check.
If it is the only property you pay business rates on and the RV is less than £10,000 you'll get a discount on the rates as well. Maximum discount is 50% at a RV of £5,000.
Feel free to ask any questions. Incdnentially the RV is suppossed to represent the annual rental value of the property as at 1 April 2003. There is a revaluation in 2010 which will base RVs on rents as at 1 April 2008. Worth bearing in mind when agreeing a rent now!
Feel free to ask more questions!
I didn't think there's rates on storage units -- but then that may just be the way the landlord at - say, Big Yellow - prices things out.
Well worth getting the reduction for small businesses if it's a tiddler. Business are otherwise a crime. I pay sh*t loads for no obvious benefit and with no vote in that borough...
Well worth getting the reduction for small businesses if it's a tiddler. Business are otherwise a crime. I pay sh*t loads for no obvious benefit and with no vote in that borough...
Thanks for the reponses, I checked the RV index and should be looking at around £1200.
http://www.n-somerset.gov.uk/Business/Business+rat...
And if I read the above page right, I can apply for small business relief, and the total will be (£1200*0.426)/2 = £256 a year
Does that sound about right?
http://www.n-somerset.gov.uk/Business/Business+rat...
And if I read the above page right, I can apply for small business relief, and the total will be (£1200*0.426)/2 = £256 a year
Does that sound about right?
therealsnazbaz said:
Thanks for the reponses, I checked the RV index and should be looking at around £1200.
http://www.n-somerset.gov.uk/Business/Business+rat...
And if I read the above page right, I can apply for small business relief, and the total will be (£1200*0.426)/2 = £256 a year
Does that sound about right?
Hi http://www.n-somerset.gov.uk/Business/Business+rat...
And if I read the above page right, I can apply for small business relief, and the total will be (£1200*0.426)/2 = £256 a year
Does that sound about right?
Ummm I seriously doubt that figure
A fiver a week on business rates....I know I have a business in a Town but mine is more like 5 times that...
Unless Somerset is cheap for some particular reason....
All the best Brett
Business Rates are RV times the 'multiplier' - 0.426 looks about right. But limits on small business reductions - you must apply by the end of Sept to get the discount, and it some buildings which are newly registered don't get it till the next tax year - so watch out.
If RV is under £5k the discount is half the rates - but there aren't that many under £5k! Good point is (unlike Council tax) there are legal limits (inflation) on Business Rates increases; bad point is re-valuation, when your property gets re-assessed compared to all the others around the country - it could do a leap in 2010 (might not - but be warned).
If RV is under £5k the discount is half the rates - but there aren't that many under £5k! Good point is (unlike Council tax) there are legal limits (inflation) on Business Rates increases; bad point is re-valuation, when your property gets re-assessed compared to all the others around the country - it could do a leap in 2010 (might not - but be warned).
Big Yellow and other similar self storage units include rates within their rent. They have a single assessment which covers the whole building, and the rent they charge covers a proportion of that total bill. The theory is that you as the renter of space don't have control over it, you can only get at the times stated by Big Yellow etc.
Interestingly though many serviced offices now have their own rateable value. The cynic would suggest that this applies where large parts of the building are empty and the owner benefits from the empty rate discount, although the bigger advantages of that were taken away in April this year.
Yes any small business with an RV of less than £10,000 should apply for the discount if they haven't had it, and if they apply before end of the month it will be backdated for the last financial year, so worth doing!
Interestingly though many serviced offices now have their own rateable value. The cynic would suggest that this applies where large parts of the building are empty and the owner benefits from the empty rate discount, although the bigger advantages of that were taken away in April this year.
Yes any small business with an RV of less than £10,000 should apply for the discount if they haven't had it, and if they apply before end of the month it will be backdated for the last financial year, so worth doing!
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