Janet Finch-Saunders, Member of the Welsh Parliament for Aberconwy, has written to Rebecca Evans MS, Minister for Finance and Trefnydd, Welsh Government, calling on her to take decisive action by making a policy decision to allow the Valuation Office Agency (VOA) flexibility to grant appeals by businesses who can prove that they were unable to meet the criteria for business rates in 2020/21 because of Covid-19 restrictions.
At present, holiday lets need to be available for let 140 days and actually occupied for 70 days to qualify for business rates. In many instances, this results in the business qualifying for Small Business Rate Relief. However, should the threshold not be met, holiday lets are being asked to pay Council Tax.
Commenting on the fact that genuine businesses are being charged council tax instead of business rates, Janet said:
“During 2020/21 communities across Wales were impacted by local and national lockdowns. In fact, the Professional Association of Self Caterers UK (PASC UK) has noted that it was impossible to legally advertise self-catering accommodation for let for 140 days, meaning that businesses are now being reclassified by the VOA and hit with Council Tax demands.
“What we have is Welsh Government effectively fining businesses for staying within the law during Covid-19.
“It has been made clear to me that at least one local authority in Wales is refusing to use its discretion by advising that they have to act on the VOA’s decision to bring the property into Council Tax for the 2020/21 financial year. When you have the VOA also stating that they have no discretion in applying the criteria due to Welsh Government policy, it is completely clear that the order to allow discretion needs to come from the Minister for Finance”.
ENDS
Mae Janet Finch-Saunders, yr Aelod o’r Senedd dros Aberconwy, wedi ysgrifennu at Rebecca Evans AS, y Gweinidog Cyllid a’r Trefnydd, Llywodraeth Cymru, yn galw arni i gymryd camau pendant drwy wneud penderfyniad polisi i roi hyblygrwydd i Asiantaeth y Swyddfa Brisio (VAO) i ganiatáu apeliadau gan fusnesau a all brofi nad oedden nhw’n gallu bodloni’r meini prawf ar gyfer ardrethi busnes yn 2020/21 oherwydd cyfyngiadau Covid-19.
Ar hyn o bryd, mae angen i lety gwyliau fod ar gael am o leiaf 140 diwrnod a chael ei feddiannu am 70 diwrnod i fod yn gymwys ar gyfer ardrethi busnes. Mewn sawl achos, mae hyn yn arwain at fusnesau yn cymhwyso am y Rhyddhad Ardrethi Busnesau Bach. Fodd bynnag, os na chyrhaeddir y trothwy, gofynnir i lety gwyliau dalu’r Dreth Gyngor.
Gan roi sylwadau ar y ffaith fod busnesau go iawn yn gorfod talu’r dreth gyngor yn hytrach nag ardrethi busnes, dywedodd Janet:
“Yn ystod 2020/21, effeithiwyd ar gymunedau ledled Cymru gan gyfnodau clo lleol a chenedlaethol. Yn wir, mae Cymdeithas Broffesiynol yr Hunanarlwywr y DU (PASC UK) wedi nodi ei bod yn amhosibl hysbysebu llety hunanarlwyo yn gyfreithlon i’w osod am 140 diwrnod, sy’n golygu bod busnesau nawr y cael eu hailddosbarthu gan Asiantaeth y Swyddfa Brisio ac yn gorfod talu’r Dreth Gyngor.
“Mae gennym Lywodraeth Cymru sy’n cosbi busnesau am gadw at y gyfraith yn ystod Covid-19 i bob pwrpas.
“Mae o leiaf un awdurdod lleol yng Nghymru yn gwrthod defnyddio ei ddisgresiwn drwy gynghori eu bod yn gorfod gweithredu ar benderfyniad Asiantaeth y Swyddfa Brisio i ddod â’r eiddo i fand y Dreth Gyngor ar gyfer blwyddyn ariannol 2020/21. Pan fo Asiantaeth y Swyddfa Brisio hefyd yn nodi nad oes ganddyn nhw ddisgresiwn wrth gymhwyso’r meini prawf yn sgil polisi Llywodraeth Cymru, mae’n gwbl amlwg bod angen i’r gorchymyn i ganiatáu disgresiwn ddod gan y Gweinidog Cyllid.”
DIWEDD