Non Domestic Rates- Small Business Rate Relief Scheme

Small Business Rate Relief Scheme

Non Domestic Rates- Small Business Rate Relief Scheme

The Small Business Rates Relief Scheme was introduced on 1 April 2003 and ended on 31 March 2008. All non-domestic subjects in Scotland with a rateable value of £11,500 or less in 2007-08 were eligible for a discount of between 5 and 50 per cent on the poundage rate. Non domestic subjects in Scotland with a rateable value greater than £11,500 up to £29,000 in 2007-08 fell into the "buffer zone" and paid the standard poundage rate. Non domestic subjects with a rateable value in excess of £29,000 in 2007-08 paid the standard poundage rate plus a small supplement (0.3p in 2007-08) to cover the additional costs of the scheme.

From 1 April 2008, the Small Business Rates Relief Scheme was replaced by the Small Business Bonus Scheme.

The discount on the poundage rate was dependant on the total rateable value of the non-domestic subjects occupied as set out below:

Less than £3,500 -----------------------------------------50 %

£3,500 or above but under £4,500 -------------------------40 %

£4,500 or above but under £5,750--------------------------30%

£5,750 or above but under £7,000--------------------------20%

£7,000 or above but under £8,000--------------------------10%

£8,000 or above; or eligible for other mandatory relief---------5%

The small supplement (0.3p for 2007-08) was payable by non-domestic subjects with a rateable value in excess of £29,000

Links to the Scottish Government website

Rate Relief for Small Businesses -A Consultation paper

Evaluation of the Impact and Effectiveness of the Small Business Rate Relief Scheme