Rates (Northern Ireland) Order 1977

Reduction of rates on certain hereditaments used for recreation N.I.

F1 [31.—(1) Subject to paragraph (5) and Article 44(2A)( b)(i), the amount which, apart from this Article, would be payable on account of a rate in respect of a hereditament to which this Article applies shall for each year be reduced in accordance with paragraphs (3) and (4).

(2) This Article applies to a hereditament—

(a) which, or any part of which, is used solely for the purposes of a prescribed recreation; and

(b) which is occupied for the purposes of a club, society or other organisation that—

(i) is not established or conducted for profit, and

(ii) does not employ any person to engage in any recreation for reward, except for the instruction of other persons who are themselves engaging or preparing to engage in it otherwise than for reward; and

(c) which is not distinguished in the [F2 NAV list] as exempt from rates as being a hereditament of a description mentioned in Article 41(2)( e)F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (recreational charities) [F4 or by virtue of Article 12(2), (3) or (4) of the Rates (Capital Values, etc.) (Northern Ireland) Order 2006].

(3) Where the hereditament is shown in the [F5 NAV list] as used solely for the purposes of a prescribed recreation, the reduction shall be effected by reducing the normal rate by [F6 80] per cent.

(4) Where the hereditament is shown in the [F7 NAV list] as having part of its net annual value apportioned to a part or parts of the hereditament used solely for the purposes of a prescribed recreation, the reduction shall be effected by computing separately—

(a) so much of the amount payable as is referable to the part of the net annual value shown in the [F8 list] as so apportioned, and

(b) so much of that amount as is referable to the remainder of the net annual value,

and by reducing the normal rate, for the purpose of the computation mentioned in sub-paragraph ( a), by [F9 80] per cent.

(5) Where a hereditament is one to which this Article applies during part only of a year, the reduction shall be made for that part of the year only; and if the reduction, or any adjustment in it, affects the amount levied on account of a rate in respect of the hereditament for that year, the difference—

(a) if too much has been paid, shall be repaid or allowed; or

(b) if too little has been paid, shall be paid and may be recovered as if it were arrears of the rate.

[F10 (5A) The Department may by regulations provide that the reduction in the normal rate in accordance with paragraphs (3) and (4) may be increased to 100% in prescribed cases.

(5B) Without prejudice to the generality of paragraph (5A), prescribed cases in regulations under that paragraph shall include, subject to such conditions as may be prescribed, where a hereditament is occupied by a community amateur sports club.

(5C) The first regulations under paragraph (5A) shall be made no later than 30 September 2016.]

(6) In this Article—

• [F11 community amateur sports club” means a registered club within the meaning of section 658(6) of the Corporation Tax Act 2010;]

• “the normal rate” for any year in respect of any hereditament means the amount which, apart from this Article, would be the amount in the pound of the rate to be levied for that year in respect of [F12 the rateable net annual value of ]that hereditament;

• “prescribed recreation” means a recreation, whether conducted indoors or outdoors, which in the opinion of the Department demands an appreciable degree of physical effort and which is of a kind specified by the Department, after consultation with the Sports Council for Northern Ireland and with any association which appears to the Department to be representative of district councils, by an order made subject to affirmative resolution;

• “use” in relation to a hereditament or any part of it means use by members of the club, society or other organisation for the purposes of which the hereditament is occupied or by other persons who under the rules of that club, society or organisation are permitted to use the hereditament or that part;

and for the purposes of this Article and Article 44(2A) an area provided as a parking place for vehicles of persons engaging in a prescribed recreation, and any part of a hereditament constructed or adapted for use by such persons (or by persons who have engaged or intend to engage in the recreation) as a bathroom or lavatory or for use wholly or mainly for the storage of their clothing or of equipment used for purposes of the recreation, shall be treated as used solely for the purposes of that recreation (notwithstanding that it is also used by other persons or that at particular times it is used by persons none of whom are engaging in such a recreation).]

F1 1979 NI 4

F2 Words in art. 31(2)(c) substituted (1.4.2007) by Rates (Amendment) (Northern Ireland) Order 2006 (S.I. 2006/2954 (N.I. 18)), arts. 1(3), 39, Sch. 2 para. 14(2)(a); S.R. 2006/464, art. 2(4)

F3 Words in art. 31(2)(c) repealed (1.4.2006) by Rates (Capital Values, etc.) (Northern Ireland) Order 2006 (S.I. 2006/611 (N.I. 4)), arts. 1(3), 12(7)(a)(i), 16, Sch. 4; S.R. 2006/146, art. 2

F4 Words in art. 31(2)(c) inserted (1.4.2006) by Rates (Capital Values, etc.) (Northern Ireland) Order 2006 (S.I. 2006/611 (N.I. 4)), arts. 1(3), 12(7)(a)(ii); S.R. 2006/146, art. 2

F5 Words in art. 31(3) substituted (1.4.2007) by Rates (Amendment) (Northern Ireland) Order 2006 (S.I. 2006/2954 (N.I. 18)), arts. 1(3), 39, Sch. 2 para. 14(2)(b); S.R. 2006/464, art. 2(4)

F6 Word in art. 31(3) substituted (1.4.2006) by Rates (Capital Values, etc.) (Northern Ireland) Order 2006 (S.I. 2006/611 (N.I. 4)), arts. 1(3), 9(a); S.R. 2006/146, art. 2

F7 Words in art. 31(4) substituted (1.4.2007) by Rates (Amendment) (Northern Ireland) Order 2006 (S.I. 2006/2954 (N.I. 18)), arts. 1(3), 39, Sch. 2 para. 14(3)(a); S.R. 2006/464, art. 2(4)

F8 Words in art. 31(4)(a) substituted (1.4.2007) by Rates (Amendment) (Northern Ireland) Order 2006 (S.I. 2006/2954 (N.I. 18)), arts. 1(3), 39, Sch. 2 para. 14(3)(b); S.R. 2006/464, art. 2(4)

F9 Word in art. 31(4) substituted (1.4.2006) by Rates (Capital Values, etc.) (Northern Ireland) Order 2006 (S.I. 2006/611 (N.I. 4)), arts. 1(3), 9(b); S.R. 2006/146, art. 2

F10 Art. 31(5A)-(5C) inserted (19.9.2016 for specified purposes, 26.10.2016 in so far as not already in operation) by Rates (Amendment) Act (Northern  Ireland) 2016 (c. 6), ss. 1(2)(a), 6(1); S.R. 2016/331, art. 2(a); S.R. 2016/388, art. 2

F11 Words in art. 31(6) inserted (19.9.2016 for specified purposes, 26.10.2016 in so far as not already in operation) by Rates (Amendment) Act (Northern Ireland) 2016 (c. 6), ss. 1(2)(b), 6(1); S.R. 2016/331, art. 2(a); S.R. 2016/388, art. 2

F12 Words in art. 31(6) in definition of "the normal rate" inserted (1.4.2007) by Rates (Amendment) (Northern Ireland) Order 2006 (S.I. 2006/2954 (N.I. 18)), arts. 1(3), 39, Sch. 2 para. 14(4); S.R. 2006/464, art. 2(4)