Rates General
Rates are made annually by the Department and District Council. The departmental rate is a regional rate, and the District Council rate is a district rate.
A rate is levied as an amount in the pound for reference to the rate of a valuation. A regional rate is made by the Department and is subject to affirmative resolution. The district rate is made by resolution of the District Council.
Before making a regional rate for any year, the department is to take into consideration estimates of the amounts required to be raised by means of district rates for that year.
The district rate is to be made by each District Council for the next following year by not later than a prescribed date. Making the rate after that date does not invalidate it.
The district rate is to be sufficient to provide for the total estimated expenditure to be incurred and not otherwise met, and to meet other expenditure incurred required for contingencies or expenditure which may fall to be defrayed on account of subsequent district rates.
Regional and district rates are levied as a single rate. Wage is due as a debt to the Crown if made before the commencement of the year and is due on the first of April. If made later, the rate is due and made.
The department demands rates from persons liable by serving a demand note. The demand note is to furnish information, including the location of the ratable property, the ratable net annual value or ratable capital value of the premises where different, the amounts in the pound for their regional and district rate, and the period for which it relates.
A person aggrieved against a rate or any neglected thing or omission by the Council in connection with a district rate, or has a material objection to the inclusion or exclusion of any person from or the amount charged to any person for the rates, may appeal to the County Court. An appeal does not lie in respect of a matter where relief might be granted by way of revision of valuation. Appeal against making a refusal of a valuation list alteration.
The rate is leviable notwithstanding that it is appealed. Provided that until the appeal has been determined, no proceedings shall be commenced to recover from that person (who has served notice on the department) greater than the amount leviable in the immediately preceding year, or if there was no rate in the previous year for that premises, a hypothetical rate had the premises been included.
If the court gives relief against rates, it may amend it in such a manner as is appropriate to the case. It may order that rates overpaid be repaid.
There are provisions in relation to the effect of dates for alterations in the valuation list.
Alterations may change the net annual value of the premises. The district valuer may issue a certificate specifying the net annual value of the premises, which is attributable to a material change in circumstances. An appeal may be made to the commissioner against the certificate. There are certain rights of appeal to the Lands Tribunal and Valuation Tribunal in respect of alterations in valuation.
Rates applicable to a premises may be apportioned if there are different occupiers or part is occupied and part unoccupied. This may be done at the request of the Department and with the agreement of the occupier if it is agreed they are capable of separate occupation.
A certificate signed by the department of the net annual value or capital value of a premises and the amount of rates chargeable is admissible in proceedings as evidence of the matters in them. A certificate of the District Council stating the district rate and of the Department specifying the, is evidence thereof.
The department shall, on request by a person who is liable in relation to a property for a rate for any year, give a statement of the rates payable in respect of the premises for any of those years in respect of which he is still liable for arrears at the time of the request and a statement of the rates in respect of the premises for any of those years not being earlier than nine years before.
The rate of the value of a premises is its ratable net annual value and its ratable capital value. The provisions in respect of valuation are set out below.
Every occupier included in the valuation is chargeable to rates in respect of the premises according to the ratable value.
A person in occupation of property for part of the year is liable to be charged for such part only of the total amount as compares to the same proportion to the number of days during which he is in occupation compared to the total number of days in the year. A person in occupation after the rate is assessed is liable in the first instance to the whole of the year if he was in occupation at the start of the year or if later a proportionate part of that amount calculated on the basis and assumption that he will remain in occupation for the rest of the year. If he ceases possession within the year, he is entitled to recover sums charged in respect of the later part of the year provided the period is more than seven days and he has not recovered the sum from another occupier from the incoming occupier.
Rates are payable by the owner instead of the occupier if
- the annual value is less than [£ ] , capital value is less than [ ]
- rent is collected at intervals shorter than quarterly or the tenancy agreement does not provide when it is collected and annual value is less than 1590 or capital value is 150000,
- separate parts are let as apartments or lodging or
- the house is in multiple occupation.
The owner of a property whose rent is collected at intervals shorter than quarterly may agree with the department or undertake that he will pay the rates in respect of the premises whether occupied or not. In each of the above cases, the rates may be recoverable from the owner.
The Department may serve a notice requiring the names of occupiers in respect of which he is rated or has agreed on particulars of the periods for which any of the premises have been unoccupied and with respect to amounts which he has failed to collect from the occupiers as may be required.
The occupier may deduct rates paid from the rent due to the owner where he pays it in circumstances where the owner is liable.
Regulations may provide that a person is charged the rates in respect of social sector houses. The social ratable capital value is determined by the department. The rates may be chargeable as a proportion of the rent payable to the owner as the department considers appropriate. Social sector houses include housing executive and registered housing association and body premises other than as excluded.
Where rates due from the person who is rated in respect of the premises are in arrears, the Department may serve a notice on any person paying rent to the person from whom the rates are in arrears stating the amount of the arrears of rates and requiring future payments of rent to be made to the department until raised arrears are cleared. Persons shall be chargeable to rates in relation to unoccupied person if he is entitled to possession of it and defaulted in certain prescribed classes.
The Department may require information by notice on the occupier of a premises of a person paying rent requiring the state particulars of the nature of the interest, the level of rent, amount of rent, and name and address of the owner.
Where a person is receiving rent as agent for another department may serve notice requiring him to give details. They require information regarding the rent, name and address of the owner.
Persons authorized by the department may enter land for the purpose of gathering information in relation to rates. The occupier of the land must give assistance as is reasonably required to the person entering the land.
Most persons qualify to elect to pay by instalments. The department may enter agreements for deferral of rates with owner-occupiers in respect of dwelling houses subject to prescribed conditions. Persons must be of pensionable age or the spouse may be or surviving partner of a person who has made such an agreement.
Provision may be made under the agreement for charging rates as it is charged on the estate and land.
Regulations may provide a rate relief scheme providing for a reduction of rates in accordance with the scheme. The scheme may provide for relief from rates in accordance with criteria applicable to housing benefits.
Regulations may exempt from rates premises of a prescribed class. A person may qualify for rates of property as occupied by persons under 18 if he is under 18 and satisfies conditions relating to education or training or leaving care as may be prescribed and complies with requirements applicable to the relief. He may be required to give information as the department reasonably requires.
Regulations may prescribe for relief from rates for first-time occupiers in newly constructed houses qualified for certain energy efficiency criteria. The relief may last for maximum periods. They apply to low carbon home or zero carbon home by reference to specified aspects of energy efficiency.
Regulations may prescribe for a reduction in rates in accordance with energy efficiency criteria.
There are reduction in rates for certain premises used for recreational purposes on an after-profit basis. Where it is used solely for recreational purposes, there is an 80% reduction. A proportionate reduction may be allowed where it is not wholly so used.
The department shall grant a rates rate based on premises in which facilities are required for a person having a disability. The person entitled to the rebate is an occupier with a disability or a tenant or a person who is a member of the same household and is either occupier or tenant. The rebate is 25% of its value.
There are exclusions for empty houses. Where they cannot be legally occupied due to the action of a public body, listed building historic monument, prison, bankruptcy, insolvency, owned by a liquidator, a person in prison.
There is a reduction of rates on former agricultural land. The department grants a rebate for houses used by institutions for persons with a disability. The rebate shall be in respect of the entire rate or proportion or part of it if there is partial use or used for part of the year.
Rates are due as is summarily collectible debt by action in the County Court or High Court or summarily. The jurisdiction in a court of summary jurisdiction or County Court may be exercised notwithstanding any provisions limiting jurisdiction of the court by reference to an amount claimed or value of property.
Rates recovery proceedings may be heard in the petty sessions district or county court area having jurisdiction. Proceedings may be instituted seven days after service of a demand note for the rate levied. Issues regarding making of the rate and matters which may be the subject of an appeal against the rate, violation matters may not be raised. Proceedings may be instituted within six years.
Where a person is a subject of proceedings for the collection of rates and shows that he collects the rent on behalf of another and does not hold and has not since the date the rate became due held sufficient money to discharge the same, his liability is limited to the sums he has received.
The department may make regulations allowing for a reduction or relief from rates. For a person to otherwise suffer hardship, regulations may provide thresholds in terms of value and provide for classes. The deduction or repayment may be such as is prescribed.
The department may determine the net annual value of premises and plant occupied by electricity license holders, gas license holders, water supply, and sewage service providers.
The ratable net annual value of a premises is its net annual value, and the ratable capital value shall be its capital value if any.
Generally, the occupier is not entitled to deduct rates from his rent. A contract or covenant may provide for payment by any person either by allowing a deduction from rent or otherwise of any rate payable by any other person.
The department may serve a completion notice in respect of a newly constructed building. Where it could be completed within three months, the notice may be served. It may be withdrawn, and a subsequent notice may be given if appropriate.