Latest business rates inquiry might just have some purpose
The deadline is looming for anyone who wishes to send in a submission for consideration in the latest inquiry into business rates.
Launched by the Treasury Committee, it is looking into how Government policy has impacted business rates and by default businesses.
It is something I have covered before but the deadline for submission is April 2nd so now is the time to speak out if you want to have a voice.
The Committee plans to examine how Business Rates policy has changed, including Business Rates retention, alternatives to property-based taxes, such as the proposed digital services tax, and how changes to Business Rates could impact businesses.
It might have been dismissed as another talking shop, but its terms of reference are interesting in that the inquiry will look at how changes in Central Government policy have changed the business rates system. It also plans to look at how the current business rates system is operating and the associated impact on business.
The inquiry will cover the following:
The impact of changes in Business Rates policy since 2017 on businesses, in particular:
– the changes in reliefs and allowances
– the ability of businesses to pay
– The relationship between Business Rates and the behaviours it drives in business.
How the current Business Rate system measures up against the following pillars of that illustrate good tax policy:
– Support growth and encourage competition
– Provide certainty
– Be coherent.
The economic justification for a property-based business tax:
– The impact of Business Rates on rental levels
– The impact of Business Rates on property prices
– Alternatives to property-based business taxes, such as the proposed digital services tax
– The problems associated with property-based business taxes
– The impact of changes (proposed and actual) of Business Rates on Local Authorities and Councils, and the High Street.
Written submissions can be sent in via the following link:
London Mayor Sadiq Khan is the latest big name to call on the government to extend the business rates holiday beyond April 2021.
The retail and hospitality sectors are mobilising the troops with dire warnings that thousands of business are at risk if the rates holiday isn’t extended beyond April 2021.
The pandemic has led to more than 50,000 extra appeals being lodged against business rates by Scottish firms alone.