Taxation and Business Rates

This consultation explores these issues and the potential impacts of an OST to help the government assess the case for and against implementing such a tax.

This consultation sets out how the government intends to give effect to a number of measures arising from its recent business rates review. It covers the following areas:

1. Measures to enable more frequent revaluations
2. Improvement relief
3. Support for investment in green plant and machinery
4. Other administrative changes

Building on 2020’s Scottish Budget consultation exercise, the Scottish Government has been exploring ways to enhance its approach to tax policy making at the beginning of this new session of the Scottish Parliament.

This is a public consultation on delivering more frequent revaluations for business rates (non-domestic rates), part of the government’s Fundamental Review of Business Rates. This is a standalone consultation focused on more frequent revaluations, an area of reform that respondents identified as a priority in the call for evidence. We are seeking further input and evidence from interested parties to inform policy development, including on the trade-offs necessary to deliver different revaluation frequencies.

HM Treasury will conduct a fundamental review of business rates with the objective of:

• reducing the overall burden on businesses
• improving the current business rates system
• considering more fundamental changes in the medium-to-long term

Alongside supporting the government in its core aims regarding the economy, productivity and its fiscal rules, the review will also have particular regard to:

The Treasury Select Committee tax inquiry is considering whether the Government’s post-pandemic planning should include changes to tax regimes, including those directly affecting businesses and workers.

The proposed changes will

• create a legal definition of an ATM
• amend the categories of properties exempt from receiving SBRR to include ATMs
• provide clarification of how ATMs should be treated regarding SBRR.

The Scottish Governments’ Local Government and Communities Committee will explore the impact of a Non-Domestic Bill which aims to reform non-domestic rates in Scotland. The Committee is seeking views on:

The Treasury Committee launches a new inquiry into Business Rates to scrutinise how Government policy has impacted business.

This consultation seeks views on proposals for sharing risk and reward, managing volatility in income and setting up the reformed business rates retention system.

The reform of the business rates retention system will sit alongside wider changes to the local government finance system which the government aims to introduce in 2020.