11.Section 1(2) of the Act amends the 1966 Act in order to insert new section 24ZA, which imposes liability for non-domestic rates, in respect of a property which has no occupier, on the owner of the property. In this context the terms “occupier” and “owner” have the meanings given by section 379 of the Local Government (Scotland) Act 1947
12.The liability as set out in new section 24ZA(1) is for the owner to pay the amount of the rate that would have been payable if the property did have an occupier. Section 24ZA(2) then provides that all other legislation relating to rating (including UK and Scottish Acts) applies as if the property were occupied by the owner.
13.This general rule is subject to any rates reduction or relief that may be put in place under section 3A of the Local Government (Financial Provisions etc.) (Scotland) Act 1962 (which provides for a rating authority (i.e. a council) to provide for relief, regulations under section 153 of the Local Government etc. (Scotland) Act 1994 (under which the Scottish Ministers may provide for relief), or any other legislation which provides for the rates leviable in respect of lands and heritages to be reduced or remitted (such as, for example, rates relief for new or improved properties through regulations made under section 14 of the Non-Domestic Rates (Scotland) Act 2020).
14.Section 1(4) of the Act makes a consequential amendment to section 16 of the 1956 Act, so that it is clear to the reader of the 1956 Act that the general rule in section 16(1) of the 1956 Act making occupiers liable for rates rather than owners is now subject to new section 24ZA of the 1966 Act.
15.Section 1(5) of the Act gives retrospective effect to the amendment of the 1966 Act so that the amendment takes effect from 1 April 2023. This means that there will be continuity in the imposition of liability for rates in respect of unoccupied properties: up until 1 April 2023, section 24(3) of the 1966 Act provided for owner liability, and from that date, new section 24ZA of the 1966 Act provides for that liability. Section 1(5) also gives retrospective effect to the consequential amendment of the 1956 Act.
Commentary on Provisions Section 1: Non-domestic rates: liability of owners of unoccupied properties