Business (or Non Domestic) Rates
Recovery Procedures
When do I have to pay my Business Rates?
Business, or Non Domestic Rates, are a yearly charge which is
normally paid in 10 monthly instalments starting in April. We will
send you a bill at least 14 days before your first payment is
required and this will advise you of the amounts that are required
to be paid and when they are due.
Payment by Direct Debiting is the safest and easiest way to
ensure that your payments are made on time and avoids you
forgetting to pay.
Contact the Council
If you are having difficulty in paying your Business Rates, get
in touch with the Council immediately. Remember we will always try
to make a payment plan with you, but we will not agree to payments
which leave you falling further behind into even more arrears.
If you pay by Direct Debit, you save time, money and you do not
run the risk of falling behind as payments are made for you by your
bank or building society. Payments will be automatically
transferred for you on 1st of the month.
What happens if I don't pay on time?
If you do not pay an instalment on time you will be sent a
reminder notice. If you pay the amount shown on the reminder within
7 days, then your instalment arrangement will continue as noted on
the bill. If you do not pay as requested on the reminder notice,
then a summons will be issued without further notice and costs will
be incurred.
Please try to pay your instalments on time as each reminder
notice counts against you.
You are reminded that payment by Direct Debiting is the safest
and easiest way to ensure that your payments are made on time and
avoids you forgetting to pay.
If you have had two reminders
If you have been sent two reminders in one year and fail to pay
a subsequent (or third) instalment on time, then you will lose your
right to pay by instalments. This will happen even if you made the
payments requested on the earlier reminders.
If you lose your right to pay by instalments you will be sent a
final notice requesting full payment, in one lump sum, of whatever
balance is then outstanding.
What happens if I don't pay the amount on the final
notice?
If you don't pay the amount due, as shown on the Final Notice,
within 7 days of being sent a final notice, a summons will be
issued.
If you get a summons
The summons will give you at least two weeks notice of the date
you are to appear before the Justices at the Magistrates Court to
explain why you have not paid your Business Rates.
The summons will result in recovery costs that you will be
liable to pay in addition to the outstanding rates debt. If you pay
the amount in full, including the costs before the Court hearing,
the proceedings will be withdrawn.
If it goes to court
If you do not believe that you are the person liable to pay the
business rates, or e.g. that the council has made a mistake in the
amount you have been asked to pay, you have a right to appear in
court and tell the Magistrates why you feel you should not pay the
rates.
However, the Magistrates at the hearing will not be able to
consider your failure to pay your business rates simply because you
cannot afford or have not got the means to pay it.
At the Court hearing the Council will apply for a Liability
Order. This will incur further costs, again in addition to the
amount shown on the summons. If granted, the Magistrates will have
decided that you are liable to pay the Business Rates.
The Liability Order enables the Council to recover the money in
a number of ways, as noted below.
Can I pay the arrears by agreeing a payment
plan?
We will consider any offer to repay your arrears. However, this
will normally include any Summons and Liability Order costs, if
applicable. A Liability Order will also be sought as security
against you defaulting on the payments.
If you agree to a payment plan you must make the payments on
time, otherwise further recovery action will take place.
What happens if a Liability Order is granted against
me?
The Council will send you a notice informing you that the
Justices at the Magistrates Court have granted a Liability
Order. If you do not pay as requested or contact the council
to see if an arrangement can be agreed, further action will be
taken.
What powers does the Council have to enforce the
Liability Order?
The method most commonly used to enforce the Liability Order, IF
you do not make an acceptable arrangement with us, is:
Bailiffs
Bailiffs themselves may make a payment plan with you, according
to guidelines issued by the council, but they can and will remove
goods in certain cases. It is always best to contact the council to
agree a plan if possible, to avoid the additional fees and charges
that bailiffs can add to the overall bill.
What about bailiffs?
The bailiffs employed by this Council work to an agreed code of
practice. If a bailiff calls on you and you have not paid or are
unable to pay the amount outstanding in full, including the
Council's and the bailiff's costs, you will still be able to make a
payment plan to clear the debt. The bailiff will ask to enter your
home to make a list of goods. If you fail to honour the payment
plan the bailiff could return later to remove and sell your goods.
At this stage, further costs will be incurred for the removal of
the goods, auctioneer's fees and the cost of storage.
If the bailiff calls and you fail to make contact, or if you
have insufficient goods which can be removed, the bailiff will
return the Liability Order to the Council for further enforcement
action.
Prison - the last resort
If the Bailiff option fails, then a summons may be issued
requiring you to attend a committal hearing in the Magistrates
Court. The Justices will carry out an examination into your conduct
and means. If they consider that the money should have been paid, a
warrant of commitment may be issued placing you in prison for up to
three months. This further action will involve additional
costs.
Insolvency
The Council may also make an application for an inPidual to be
made Bankrupt or a company to be placed into Liquidation.
What to think about at every stage
If you are having difficulty in paying your Business Rates, get
in touch with the Council immediately. Remember we will always try
to make a payment plan with you, but we will not agree to payments
which leave you falling further behind into even more arrears.
If you pay by Direct Debit, you save time, money and you do not
run the risk of falling behind as payments are made for you by your
bank or building society. Payments will be automatically
transferred for you on 1st of the month.