The Rates Regulations (Northern Ireland) 2007

Regulations 5 and 6

SCHEDULE 2 DETERMINATION OF THE PRODUCT OF A NAV RATE OF ONE PENNY IN THE POUND

Interpretation

1.  In this Schedule the definition of “NAV rate” in regulation 1 shall be construed as meaning, except in paragraph 4, NAV regional rate and NAV district rate and, in that paragraph, NAV regional rate and NAV district rates.

Manner of determination

2.  The product of a NAV rate of one penny in the pound in any district for any year shall be determined by deducting from the gross rate income from each hereditament or any part of any hereditament in the NAV list in the district the cost of collection and the loss on collection attributable to those hereditaments or any part hereditaments and dividing the remainder by the total of the pence in the pound of the NAV rates made for that year.

Gross rate income

3.  In this Schedule the gross rate income for any district for any year shall be ascertained by adding together the following amounts—

(a) the total amounts produced by calculating, from the rateable NAV of each hereditament or any part of any hereditament in the NAV list in the district shown in the record kept by the Department of rates payable for that year, the gross liability of the hereditaments or any parts of any hereditaments to rates for the year less the total amount of any reliefs granted in respect of hereditaments under Article 31 of the 1977 Order; and

(b) the total of amounts by way of rates for an earlier year found during the year to be recoverable under Article 13 of the 1977 Order in respect of—

(i) hereditaments or any parts of any hereditaments in the NAV list; or

(ii) hereditaments or any parts of any hereditaments not used for private dwelling, private storage or private garages that were included in the valuation list prior to 1st April 2007.

Cost of collection

4.—(1) When in accordance with paragraph 4(1) of Schedule 1, the cost of collection for any district has been ascertained, the cost of collection of NAV rates for the district shall be determined in accordance with sub-paragraphs (2) and (3).

(2) The cost of collection of NAV rates for a district for any year shall be the proper proportion of the total cost of collection for that year of rates for the district.

(3) The proper proportion of the total cost of collection for any year is the proportion which the aggregate rateable NAV of hereditaments or any parts of any hereditaments in the NAV list in the district bears to the rateable NAV of hereditaments or any parts of any hereditaments in the NAV list and the total rateable capital value of hereditaments or any parts of any hereditaments in the capital value list of the district.

Loss on collection

5.  The loss on collection of NAV rates for any district for any year shall be the aggregate of the following amounts—

(a) the total amount for the year of rates written off in respect of—

(i) hereditaments or any parts of any hereditaments in the NAV list; or

(ii) hereditaments or any parts of any hereditaments not used for private dwelling, private storage or private garages that may have appeared in a valuation list prior to 1st April 2007 in the district,

including allowances made by way of discount under Articles 20 and 21 of the 1977 Order; and

(b) a sum equal to 25 per cent. of the total amount by which the liability of persons to pay rates for the year in respect of—

(i) hereditaments or any parts of any hereditaments in the NAV list; or

(ii) hereditaments or any parts of any hereditaments not used for private dwelling, private storage or private garages that were included in a valuation list prior to 1st April 2007 in the district,

was reduced or remitted in accordance with the Regulations made under Article 33B of the 1977 Order,

less any amount falling under sub-paragraphs (a) or (b) for an earlier year found during the year to be recoverable.