Business Rates Revaluation 2010

There is a business rates revaluation every five years and the next is effective from 1st April 2010.   The Valuation Office has already issued the authority with a draft 2010 list 

The purpose of a revaluation is to maintain the fairness of the tax by redistributing it to reflect up to date property rental levels.  There are bound to be winners and losers in this process.  This is were the transition scheme comes in by capping the maximun amount of the increase or decrease and tapers it over the next four years.  In Harrow overall values have gone up by 13.5%. An analysis of the increases spread over the different type of properties is set out in the table below.

The purpose of a revaluation is to maintain the fairness of the tax by redistributing it to reflect up to date rental levels.  There are bound to be winners and losers in this process.  However, in Harrow overall values have gone up by 13.5%. An analysis of the increases spread over the different type of properties is set out in the table below. 

The new valuations will be on the valuation office website from 30th September 2009.  They will also have sent out valuation summary notices to all business rate payers from October 2009.  If you wish to view your new valuation please visit www.voa,gov.uk/2010 .  You should check that the correct details are held and if not, query this with the valuation office straight away.  

The valuation will not tell you how much your bill will be next year.  To find out please visit www.businesslink.gov.uk/estimatemyrates , this will give you an idea of what you are likely to pay, based on your new rateable value.

Central Government has already consulted on a "Transitional Arrangement or TR Scheme" and is committed to again putting a scheme in place for the 2010 revaluation. The scheme will work by protecting revaluation losers by limiting the annual increase in the rates bill.  Conversely, revaluation gainers too will have caps on decreases so they do not immediately obtain their full reductions under the new values; therefore ensuring the scheme is self financing. However, the exact details have not yet been published as the regulations have not yet been passed by Parliament.

What appears probable is that many of our rate payers will have increases in this tax regardless that inflation remains at zero or extremely low. Our Council offices will also be subjected to increases.