This following section is an extract from the Land Reform Consultation.
"Proposal 7: Removal of the exemption from business rates for shooting and deerstalking
The Scottish Government continues to deliver the most competitive business tax environment in the UK through its business rates policies. Our business (non-domestic) rates regime must continue to support businesses to flourish, whilst raising revenue to help deliver essential local services.
An exemption from business rates for “shootings, deer forests, fishings and fish counters” – often referred to as “sporting rates” – has been in place since 1995.[1]
Salmon fishing rights have continued to be valued by the Scottish Assessors, although only at the request of district salmon fishery boards for the purpose of fishery assessment (the ‘salmon levy’), rather than for rating. The current business rate exemptions for fishings and fish counters will be subject to separate consideration by Scottish Ministers in due course in response to the relevant recommendations of the recent Wild Fisheries Review.[2]
UK Ministers in 1994 estimated annual council revenue from sporting rates at £2 million. Today, that could equate to around £4 million (subject to any rates relief).[3] However, given that shootings and deer forests have not been on the valuation roll since 1995, and the intervening changes in the country sports market and to the prevailing range of rates reliefs, an accurate calculation of revenue could only be made once new valuations are completed by the Assessors. Therefore, the above figure should be considered as an estimate.
It is proposed that the Land Reform Bill should include provisions to end the business rate exemptions for shootings and deer forests. Ending these exemptions would require identification and valuation of subjects by the Assessors, with rates bills calculated and relief applications determined by local authorities. This would bring shooting and deerstalking businesses back into line with other ratepayers who help fund local services.
[1] s.151, Local Government etc. (Scotland) Act 1994
[2] www.scotland.gov.uk/Topics/marine/Salmon-Trout-Coarse/fishreview/WFRFinal
[3] Forward projection based on overall rise in Scottish non-domestic rates income; however, an accurate estimate would require detailed analysis, taking into account changes in the tax base and the impact of changes in reliefs."