Abolition of CILOR (Contribution in Lieu of Rates) - April 2000Information Note No: 2/2000 April 2000 Abolition of CILOR Contribution in lieu of rates Background The Rates (Amendment) (Northern Ireland) Order 1998 made provision for the abolition of CILOR (Contribution In Lieu Of Rates), which has to date been paid by all occupiers of Crown property. This mirrored similar legislation in GB but up until recently no date for the abolition in Northern Ireland had been specified; this has now been fixed at 1 April 2000. Currently NI Departments and Agencies pay CILOR through the Rate Collection Agency (RCA) whereas GB Departments and Agencies pay CILOR through the Crown Property Unit of the Valuation Office Agency in London. With effect from 1 April 2000, all Crown occupiers will pay rates in the same way as the private sector, through RCA. Since CILOR was in fact based on the rateable valuations of the properties concerned its abolition will not have any bearing on the actual amounts to be paid. However the abolition of CILOR does bring into effect other changes for occupiers and these are summarised below. Roles and Responsibilities In NI the Valuation List is maintained by Valuation & Lands Agency (VLA). Rating liability is based on the individual valuations in the List. Bills are sent out by and payments then made to the Rate Collection Agency. The first point of contact therefore for any inquiry regarding a rateable valuation should be the local VLA office - a table showing the office network with contact names, addresses and telephone numbers is attached. Enquiries regarding all other rating matters including billing and payment should be addressed to the Rate Collection Agency; contact details are attached also. Queries regarding rateable valuations The revised system will have the effect of enabling Crown Occupiers to challenge their rateable valuations in the same way as every other occupier. However, it should normally be the case that an informal approach to the District Valuer (DV) will provide sufficient clarification on any issue of rateable valuations. VLA already have first-hand knowledge of most of the properties concerned (through asset valuations and other rating casework) and will be able to provide professional advice to public sector occupiers. A more formal approach can if necessary be adopted but, even then, it is not necessary for occupiers to engage estate agents. Property managers should be aware that in recent years there have been many cases of "cowboy" agents charging clients for what in Northern Ireland is actually a free service to any ratepayer i.e. making a formal application to the District Valuer for a revision of a rateable valuation. Expenditure on agents' fees may therefore be difficult for accounting officers to justify other than in very exceptional circumstances. Occupiers should also be aware that at formal application stage, valuations may go up as well as down. GB Departments Those Crown Occupiers in GB Departments rather than NI Civil Service Departments may already have received guidance notes on abolition of CILOR from Property Advisers to the Civil Estate (PACE) in London. It is important for local occupiers of UK Government properties to appreciate that the advice given in these PACE guidance notes does not apply in NI where the rating/appeal system, the revaluation cycle and the payment structure are different to GB. For example, domestic rating has not been abolished in NI and there has not been a Revaluation 2000 here. Contacts Advice on individual valuations Advice on the rateable valuation of any property can be obtained from the District Valuer for the District Councils areas in which the property is situated, as shown on the VLA Network Page. General and policy advice Further advice on any aspect of the rating of Crown property in Northern Ireland can be obtained from : Alan Bronte FRICS Telephone 028 9054 3913VLA Headquarters Queen's Court 56-66 Upper Queen Street Belfast BT1 6FD Billing and Payments Advice on any aspect of payment and billing can be obtained from: Roger Gordon Telephone 028 9025 2074Rate Collection Agency Oxford House 49/55 Chichester Street Belfast BT1 4HH |
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