Charitable ExemptionYou do not have to pay rates on your property if it is ‘occupied and used for public benefit or for charitable purposes’. Charitable purposes include formally constituted trusts for:
If you wish to seek charitable exemption for a property you must show that it is either a charity, or alternatively that it is not established for profit, and that the use of the premises directly facilitates the charitable objectives. A simple example is a church, which is held by trustees whose main objects are the advancement of religion, and the church building is used in connection with these objects. The use of premises for recreation or other leisure time occupation may also be considered to be charitable if the facilities are provided in the interests of social welfare and are for the public benefit. A village hall or recreation centre often falls into this category. However charitable exemption is a complicated subject. A District Council may not have to pay rates on a town swimming pool as it is occupied for the public benefit, but they would have to pay rates for their Council's office buildings. Likewise a charity shop would not have to pay rates if they sell only donated goods. However if they also sell goods bought wholesale the valuation of the property will be apportioned between the two uses. Further advice can be obtained from any of our offices but as it is a complicated subject it is advisable to seek independent professional advice. |
||
