(This note is not part of the Regulations)
These Regulations prescribe the decapitalisation rate to be applied when valuing lands and heritages in Scotland in accordance with the contractor’s basis for the purposes of any valuation roll which comes into force on or after 1st April 2017. The contractor’s basis is the method of ascertaining the net annual value of lands and heritages by reference to their cost of construction or provision or to their capital value.
The decapitalisation rate prescribed is 2.9 per cent in the case of certain church property, healthcare property and educational establishments (as defined in regulation 2) and 4.6 per cent in any other case.
Regulation 5 revokes the Valuation for Rating (Decapitalisation Rate) (Scotland) Regulations 2005 and saves those regulations for valuations before 1st April 2017.