Business Rates - Council Tax

[samhorne]

Hello

if you were self employed and worked at home...
Would you need to pay business rates?

If so , would you need to pay them on the whole house or just the rooms used for the business?

and if it is just on the business rooms and the business rates were �100 per month and normal council tax for the rest of the house is �150 per month would the business rates then be deductable from the normal council tax?

Explain ?

[Buenchico]

Because different people use different areas of domestic properties for business purposes, each case is treated individually. However, the Valuation Office Agency provides some examples for guidance:
http://www.voa.gov.uk/council_tax/examples_wor king_from_home.htm

If business rates were payable, they would not be deducted from the council tax. The domestic part of the property would be assessed as if it existed as a completely separate building to the business premises, and a market value as at 1 April 1991 calculated for that notional property. (That assumes that the property is in England. The relevant date for properties in Wales is 1 April 2003). The property would then be allocated to the appropriate council Tax band:
http://www.voa.gov.uk/council_tax/bands_englan d_wales.htm
That process might mean that the property drops into a lower Council Tax band than before (with a subsequent drop in the size of the Council Tax bill) but, if not, the Council Tax would remain unchanged.

Chris