Call to scrap empty office tax
Some of the UK's leading companies are backing calls by the British Property Federation (BPF) to abolish the tax on empty business premises.
The BPF argues the tax encourages companies to destroy premises rather than keep them empty and has warned it could force both small and larger firms out of business.
It is proposing companies with empty premises should receive a three-month tax-free period, after which they should only pay half the current rate. It also wants industrial premises to remain tax-free indefinitely.
"Taxing hardship and business failure is a ludicrous way to help people through the hard times," said BPF chief executive Liz Peace.
Tesco, McDonald's, Nokia, British Airways, B&Q, Next and Legal & General are among those that have signed up to support the campaign.
The government has argued that the tax is designed to ensure companies do not allow premises to remain empty in the hope of higher rents but has pledged to keep the matter under review.
Post Date: October 28th, 2008