Reliefs and exemptions

From 1 April 2008, this replaced Small Business Rate Relief (SBRR).

The Small Business Bonus Scheme provides relief to businesses with properties in Scotland of which the combined rateable value is £18,000 or less. In addition, where the cumulative rateable value of business properties falls between £18,000 and £35,000, the scheme will offer 25% relief to individual properties with a rateable value £18,000 or under. 

The exact level of relief therefore depends on: 
(i) the total rateable value of all subjects occupied by the rate-payer; and
(ii) whether or not the property is eligible for one of the existing non-discretionary rate reliefs.

Part of the cost of the scheme is met by a supplement added to the rates bills of properties with a rateable value over £35,000 and this is applied to the Rates bill after adjustments for any relief that may apply.

This is an application form for relief available under The Non-Domestic Rates (Coronavirus) (Scotland) Regulations 2022, known as Retail, Hospitality and Leisure relief under which 50% relief is available for the first three months of the 2022-23 financial year (April – June), capped at £27,500 per ratepayer.

Ratepayers are required to make a declaration (see section 2 of this form), to ensure that they do not exceed £27,500 of this relief award. The council will reclaim any relief incorrectly awarded on incomplete, incorrect or fraudulent information.  

The list of whole or main property uses that may be eligible for relief are set out in schedule 1 of the regulations The Non-Domestic Rates (Coronavirus Reliefs) (Scotland) Regulations 2022 (legislation.gov.uk).

From 1 April 2016 standard empty properties will attract 50% relief for the first 3 months of the property being empty; thereafter the relief will reduce to 10%.

For Industrial empty properties the relief will be 100% for the first 6 months of the property being empty and thereafter will reduce to 10%. 

Please note for unoccupied non-industrial property that has been in receipt of unoccupied relief for a period of 3 months or more as at 1 April 2016, and for unoccupied industrial property that has been in receipt of unoccupied relief for a period of 6 months or more as at 1 April 2016 the level of unoccupied relief will change to 10% from 1 April 2016.

Listed buildings, property vested in some types of trustees, or property with a rateable value of £1,700 or less still qualify for full relief. 

Properties occupied by registered charities or organisations whose main objectives are charitable, or are otherwise philanthropic, religious or concerned with education, social welfare, science, literature or the fine arts may qualify for up to 100% relief. The property must be wholly or mainly used for charitable purposes.

Properties occupied by sports clubs, organisations registered with the Inland Revenue as Community Amateur Sports Clubs and organisations not established or conducted for profit which are mainly used for recreational purposes may qualify for up to 100% relief. Sports clubs with a license to sell alcohol are also eligible to apply.

Properties for the provision of residential accommodation, training or welfare of disabled persons, persons suffering from illness or the after-care of persons who have been suffering from illness may qualify for up to 100% relief. This does not apply to the provision of medical, surgical or dental treatment. At least 50% of the floor area of the property must be used for one of the qualifying purposes.

In rural settlements, 100% mandatory relief is available for certain qualifying public houses, small hotels, petrol filling stations (with a rateable value of £12,750 or less) and also for certain qualifying small food stores, general stores and Post Offices (with a rateable value of £8,500 or less). The Council also has discretion to award up to 100% relief to other properties, with a rateable value of £17,000 or less, used for purposes which are of benefit to the local community.

From the 1 April 2018 the Fresh Start scheme has been expanded where the relief offered is 100% for 12 months provided the property meets the following eligibility criteria

• property has been in receipt of empty property relief for a continuous period of at least 6 months; and
•  the property has a rateable value of less than £65,000.

For claims up to 31 March 2018

The relief is 50% for 12 months provided the property meets the following eligibility criteria

• property has been in receipt of empty property relief for a continuous period of at least 12 months; and
• the property has a rateable value of less than £65,000; and
• when last occupied, the property was last used as a shop, restaurant, pub or hotel as defined in the regulations regardless of what the intended future use is.

No other relief can be awarded when Fresh Start Relief is applicable.

State Aid rules may apply – further information on state aid is available on the Scottish Government website.

The relief offered is 15 months of up to 100%. State aid de minimis applies to this relief meaning no business can receive more than 200,000 Euros over a rolling 3 year period. To qualify the property must be entered into the valuation roll between 1 April 2013 and 31 March 2018, it must be unoccupied at the time of entry on to the valuation roll and the new entry cannot be as a result of a combination, division, refurbishment or change to an existing entry on the valuation roll. This scheme has been extended to 31 March 2018.

The Scottish Government has continued the scheme for 2018/19. The relief will limit any increase in the gross bill for 2018/19 to 12.5% in real terms based on the gross bill as at 31 March 2017.

The properties eligible are those that are wholly or mainly used for one of the following specified purposes

• Bed & Breakfast Accommodation
• Camping Site
• A Caravan
• A Caravan Site
• Chalet & Holiday Hut
• Guest House, Hotel and Hostel
• Public House or Nightclub (subject to certain licensing criteria)
• Restaurants
• Self-Catering Holiday Accommodation
• Timeshare Accommodation

State Aid rules may apply – further information on state aid is available on the Scottish Government website.

From the 1 April 2018 a property that is wholly or mainly used to provide day nursery care for pre-school children may be eligible for relief. The relief will last for 3 years from 01 April 2018 to 31 March 2021.

State Aid rules may apply – further information on state aid is available on the Scottish Government website.

From the 1 April 2018 any relevant new entry lands and heritages that is not a result of a combination or division of an existing entry can claim relief for up to 12 months.

Where there has been a relevant increase in the rateable value on an existing property due to improvements, 100% relief for 12 months can be awarded on the relevant increase.

State Aid rules may apply – further information on state aid is available on the Scottish Government website.