Business Rates: Part Occupation Relief (Section 44a)

• Relief Type: Part Occupation Relief
• Award: Will be dependent on the certified amount confirmed by the Valuation Office Agency

What is Section 44a Relief?

Section 44a of the Local Government Finance Act 1988 allows councils to give rate relief on properties that are partly empty for a short period. This relief is discretionary. If granted, the Valuation Office Agency issues a certificate showing the apportioned value. The council must decide to grant relief before requesting the certificate, as the certified 'occupied value' becomes the official rateable value under the Act.

Any business can apply if part of its property is unoccupied for a short time.

Any business can make application for Part Occupation Relief part of a property is unoccupied for a 'short period of time'. When exercising discretion, the Council must apply the general rule that a person who occupies part of a property is deemed to occupy the whole of the property. It is not intended that because part of a property is not in use that it should be taken out of rating. Applications will be considered where the premises are partly unoccupied due to:

A) Full occupation being phased in over a period of time.

B) Full vacation occurring in stages over a period.

C) Temporary occupation, for example due to remedial building or refurbishment works, fire damage or similar.

Where there are practical difficulties in occupying or vacating a property in one operation, or where a building or manufacturing site becomes temporarily redundant it might be reasonable to award rate relief. Part Occupation Relief is now time limited to 3 months for most businesses and 6 months for industrial properties due to the introduction of the Empty Property Relief changes, in any 12 month period. The effective start date of Section 44A relief will normally be the date of the initial request, or where this is unclear, the date of the visit by a business rates inspector

Criteria and application process

• All applications must be made in writing to the council
• A floor plan must be provided showing the areas of occupation and non-occupation
• The liability to pay your business rates remains whilst your application is considered
• A business rates inspector will visit the premises to check that the certificated unoccupied area is not in use

Note: There will be no retrospective granting of relief where a request is made after the premises become fully operational or fully vacated.

The period of relief will end, effective from the date of one or more of the following:

• A change in the extent of partial occupation
• The ending of the rate period to which the apportionment relates
• The beginning of a new period of relief under a new certificate; or
• The hereditament becoming completely unoccupied/occupied

The ratepayer has a duty to report any change in circumstances within 60 days - you can do this via Business Rates: Report a change with your business - Powys County Council

Right of appeal

If your application is unsuccessful and you wish to appeal the decision, please submit your appeal in writing to the council within one calendar month from the date of the decision

Contacts

• Phone: 01597 827463 (office opening hours 9am - 1pm Mon - Fri)
  
  The council tax/ business rates & awards service will only be taking calls between the hours of 9am till 1pm. We aim to have a full complement of staff during these hours to help improve call response times.
• Email: revenues@powys.gov.uk 
• Write to us at: Powys County Hall, Spa Road East, Llandrindod Wells, Powys, LD1 5LG

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