Commercial Rates Charges

Why do we charge Commercial Rates?
Commercial Rates are a property-based source of income for local authorities. Rates are a statutory charge, the income from which is used to part-fund the annual revenue (day-to-day) expenditure of the local authority. Rates originated in the 19th century and are essentially a property tax on commercial premises.
There are currently three primary sources of local government financing which are universal amongst most countries. They are:

  • Central Government; Grants
  • Charges for Goods and Services and
  • Commercial Rates

Commercial Rates is one of the primary sources of Local Government funding and the income from Commercial Rates underpins the entire range of services provided by local authorities. Commercial Rates are payable in equal moieties, the first on receipt of the demand, and the second on 1st July each year. Revenue Collectors have responsibility for the collection of Commercial Rates in Waterford City & County Council.


How are Commercial Rates Calculated?
The Annual Rate on Valuation (ARV) is the figure used to calculate the annual Commercial Rates payable by the Occupier of a rateable property each year. This figure is determined by the elected members of the Council at the annual budget meeting each year, based on the deficit between Council income and expenditure for the forthcoming year. For 2020, the Annual Rate on Valuation is 0.2648. The Annual Rate on Valuation figure is multiplied by the Valuation amount of the premises as determined by the Commissioner of Valuation.

For example:
If your property has been valued at 20,000.00 by the Valuation Office then your Commercial Rates bill for 2020 will be:
20,000.00 X 0.2648 (ARV for 2020) = €5,296.00.

Disclaimer:
The Rates Calculation provided above gives you a sample rates liability for 2020.


How do I pay Commercial Rates?
Waterford City & County Council has the following payment methods available to our ratepayers:

Online
  • By Credit Card or Debit Card, you can pay your Commercial Rates online. Your PIN appears on your Rate Demand. If you need a PIN reminder, please contact us on 0761 10 2518, 0761 10 2027 or 0761 10 2120 or if you need to access your PIN.
  • Electronic Transfer
    To complete an Electronic funds transfer to Waterford City & County Council please use the following account details: 


    IBAN:

    IE71 AIBK 9340 7022 2960 86

    BIC:

    AIBKIE2D

    Bank Name:

    Allied Irish Bank Plc, 3 TF Meagher Street, Dungarvan

Direct Debit
By direct debit, monies are deducted on the 15th day of each month to clear liability by 31st December of the given year. Please note that as it takes a number of days to set up a direct debit, forms will need to be with Waterford City & County Council on the first day of the month to activate the direct debit during this month. Click here for a Direct Debit mandate form.

 

Direct Debit forms are available here. Completed forms can be emailed to lslattery@waterfordcouncil.ie or posted to Commercial Rates Office, Waterford City & County Council, City Hall, The Mall, Waterford.

By Post or in Person
Cheque /Postal Orders: Payable to Waterford City & County Council by post to Commercial Rates Office, Waterford City & County Council, City Hall, The Mall, Waterford or Civic Offices, Dungarvan.

In Person: Payable in our Cash Offices in Civic Offices, Dungarvan or Baileys, New Street, Waterford between the hours of 9.30am-4pm, Monday to Friday. Please quote your Account and LAID numbers. (Do NOT send cash in the post.)

By Phone: Please contact the cash office at 0761 10 2020 with your card details between 9.30am-4pm, Monday to Friday, to arrange this type of payment.


How to contact the Revenue Collector?
Donal Fitzpatrick      0761 10 2964 or email dfitzpatrick@waterfordcouncil.ie  (Waterford City)
Frank Walsh              0761 10 2965 or email fwalsh@waterfordcouncil.ie  (Waterford City)
Kathleen Kennedy     0761 10 2915 or email kkennedy@waterfordcouncil.ie  (Tramore, Dunmore East, Passage East)
Tracy Morrissey        0761 10 2432 or email tracypower@waterfordcouncil.ie  (Dungarvan, Cappoquin, Lismore, Tallow)
Susan Whelan            0761 10 2812 or email swhelan@waterfordcouncil.ie  (Dungarvan, Kilmacthomas, Portlaw, Bonmahon)


I have just opened a business. What rates do I pay?
This depends on whether it’s a newly constructed property or an existing rated property.
Newly constructed premises will require to be valued by the Valuation Office before Rates become payable. Waterford City & County Council will list newly constructed premises for valuation. This involves an inspection of the premises by one of the Valuation Offices qualified Valuers following which you will be notified of the proposed valuation. There is an appeal procedure should you wish to avail of it.
If you are taking over an existing rated property, then you will be liable for the existing Rates applicable to the premises. Extensive alterations will involve a revaluation. If you require information on the level of Rates applicable to that premises, you may contact the rates department for further information.


I am leasing a premises, who pays the Rates? The Owner or Myself?
The Occupier of a premises is legally liable for payment of Rates on the premises.


What do I do if my property is vacant?

Rates are payable on vacant premises, however application may be made for vacancy relief if the premises is vacant and available for let, or alternatively vacant for the purpose of carrying out repairs or alterations.
Vacancy Relief (vacant for a full calendar year) Vacancy relief has been available as follows:
Prior to 2016:    100%
2016:                   80%
2017-2019           55%
2020:                   40%
40% vacancy relief is the maximum rate allowable from 2020 onwards with the remaining 60% of the rates liability payable on the property.

  • Partial Vacancy:

When a property is vacant for a partial year, relief is granted on a pro rata basis per month i.e. 1/12th of the annual vacancy relief applicable would be issued per month of vacancy.

  • Eligibility & Conditions:

Application is made on a Vacancy Application Form
All relevant back up documentation must be submitted with the application form.
All applications will be reviewed on an individual basis. Granting of relief will be contingent on adequate details being provided.


hat happens if there is a Change of Occupant mid-year?
Owners of Commercial Properties are now obliged to notify the Local Authority, within 14 days of the transfer date, where there is a change in occupation of their property, i.e. when there is a change in tenancy or where a property is being sold, including where a property becomes vacant. The person transferring the property, either the owner or occupier are legally required to discharge all commercial rates for which he/she is liable at the date of transfer.

Owners must complete a Section 32 Form within 14 day of the change taking place. Owners who do not notify the local authority within 14 days will incur a financial penalty. This penalty is an amount equivalent to up to two years of outstanding rates from the previous occupier. Any penalty due and outstanding by an owner of relevant property due to non-notification will remain a charge on the property. The penalty charge is not affected by the subsequent payment of the outstanding rates and it remains payable even after the outstanding rates have been paid.

All ratepayers are reminded that they are legally required to pay all commercial rates due from them prior to their departure from a property or prior to the sale or transfer of an interest in a property.  Any rates due and outstanding by an owner of relevant property will remain a charge on the property.


What can I do if I am unhappy with the rates I am paying for my property?
The valuation of a property is determined by the Commissioner of Valuation (Valuation Office, Irish Life Centre, Abbey Street Lower, Dublin 1). No alteration can be made to the rates assessment of a ratepayer until such time as the valuation of a property is amended by the Commissioner of Valuation. A ratepayer of the Council can seek to have the valuation on a property revised. For further details you can contact the Valuation Office at 01 817 1000, email info@valoff.ie or log on to www.valoff.ie
 


What happens if I don’t pay my Rates?
Failure to pay your Rates by the specified period will result in legal proceedings being issued, followed by a Court Summons/Civil Proceedings. The Council may also register the debt as a judgement mortgage on a property.


What is a Set off on Account (contra-entry)?
A situation can arise whereby a Commercial Rates customer will also be a supplier of goods or services to Waterford City & County Council. Should a situation arise whereby Waterford City & County Council owes money to a Commercial Rates customer for goods supplied or services rendered and at the same time Commercial Rates are outstanding from that customer, the local authority reserves the right to apply a setoff (contra-entry) on account. This effectively allows for the payment of rates to be funded by way of amounts owing by the local authority to the rates customer. Section 58 of the Local Government Act 1941 facilitates this action.


What is the Rates Relief Grant?
Waterford City & County Council increased the rates multiplier by 2.5% for 2020. However, a payment incentive is available of 2.5% grant for all properties with an annual rate charge of €5,125 or less in 2020, subject to these conditions:

Grant:

  • Rates will be levied at the Gross value: (i.e. including the 2.5% increase above the 2019 multiplier)
  • A 2.5% grant may be applied to properties that are levied an annual gross rates charge of up to €5,125 in 2020.

Conditions:

  • The annual rates charged on a property, net of grant value, must have been paid by the 30th of September 2020.
  • Any arrears that relate to a period prior to 2020, must also have been fully paid by the 30th of September 2020, or an acceptable payment plan has been entered into with the council
  • This only applies to Rate Demands issued in 2020.

What is Entry Year Property Levy?
The Entry Year Property Levy (PEL) is a charge which the local authority applies to newly erected or newly constructed properties pending the levying of commercial rates. It was introduced for the first time in 2008 under the Local Government (Business Improvement Districts) Act 2006, which was enacted on the 24th December 2006.

PEL is only charged in the year before the property becomes active in the Rate Book. 

How is the Entry Year Property Levy Calculated?
The charge is calculated by reference to:
Rateable valuation on the property as determined by the Commissioner of Valuation.

  • The annual rate on valuation (ARV) as determined by the Council.
  • The date (entry date) the property is valued for rating purposes (i.e. entered in the valuation list).
  • The number of days from the effective valuation date to the end of the year

Making of the Rate
The notice attached is the Notice of the Making of the Rate 2020, which involves making the rate book available for inspection for a period of 14 days prior to the making of the rate.