Following the Government’s decision to postpone the next rating revaluation, the majority of businesses continue to pay business rates which are based upon artificially high rental values for a prolonged period to 1 April 2017. However, the Government has not extended the period to appeal and announced a deadline of 31 March 2015. Alterations to rateable values can only be backdated for the period between 1 April 2010 and 1 April 2015, where appeals are lodged before 1 April 2015.
Impact of late appeals
The changes to the backdating of alterations to rateable values severely limits the benefits of successful appeals if not made before 1 April 2015. Detailed consideration as to whether appeals should be lodged will therefore be required before April, although poorly considered appeals that could result in increased values must be avoided.
Colette Henshaw, Associate Director at Lambert Smith Hampton for the North West, commented, “With the potential deadline looming, businesses are encouraged to seek advice on the prospect of appeal and carry out a review of their current assessments to ensure that they do not miss out on potential backdated savings from resultant reductions in liability.”
Potential loss of 5yrs savings
Full details of this proposal are yet to be announced. However, it would appear that appeals will still be accepted after this date but that ratepayers will lose up to five years potential savings if they do not get their appeal in on time. As a result, we can anticipate a likely flurry of protective appeals before the deadline.