This is a Government bill
The Bill became an Act on 11 March 2020
This Bill was passed and is now an Act of the Scottish Parliament.
The Bill aims to update the ‘non-domestic rates’ system in Scotland. Non-domestic rates is a tax on non-residential buildings or properties. Local councils use the money to help pay for local services.
The amount paid depends on the ‘rateable value’ of the property. This is a value based on its size, location and other things.
Some types of organisations get discounts for this tax, for example charities. This Bill proposes removing this discount from private schools, except specialist music schools.
It proposes guidance for councils on administering the discounts for not-for-profit recreational clubs.
This Bill proposes stronger measures for councils to:
It also gives Scottish Government ministers powers to make anti-tax avoidance regulations.
This Bill is trying to implement recommendations from the Barclay Review. Published in 2017, it was the first review of this tax system for years. The review suggested 30 recommendations and some of these have already been made.
There have been recent changes to the non-domestic rates systems in England and Wales. To maintain a competitive business environment, the Scottish Government believes the system here also needs to change.
This system would be more reactive to economic changes.
Non-Domestic Rates (Scotland) Bill as Introduced (495KB, pdf) posted 07 August 2019
Explanatory Notes (315KB, pdf) posted 07 August 2019
Policy Memorandum (522KB, pdf) posted 07 August 2019
Financial Memorandum (550KB, pdf) posted 07 August 2019
Delegated Powers Memorandum (238KB, pdf) posted 07 August 2019
Statements on legislative competence (86KB, pdf) posted 07 August 2019
All Bills introduced in the Parliament must be accompanied by specific documents. For most Bills, this includes:
Explanatory Notes: this document provides an overview of what the Bill does, plus a more detailed explanation of individual provisions.
Policy Memorandum: this sets out the objectives of the Bill. It also lists any alternatives considered, details of consultations, and an assessment of the effects of the Bill on a range of areas.
Financial Memorandum: this sets out estimates of costs, savings, and any changes to revenues expected to result from the Bill.
Delegated Powers Memorandum: this is needed if a Bill gives powers to make subordinate legislation or allows Scottish Ministers to issue directions, guidance or codes of practice.
Statements on legislative competence: two short statements, one by the Presiding Officer and one by the Member introducing the Bill. “Legislative competence” means the powers the Parliament has to make law.
The Presiding Officer has decided under Rule 9.12 of Standing Orders that a financial resolution is required for this Bill.
For each Bill, the Presiding Officer must decide if a 'Financial Resolution' is required. The main reasons a Bill would need a Financial Resolution are that:
If a Bill requires a Financial Resolution:
The Scottish Parliament's Information Centre (SPICe) prepares impartial research and analysis to assist MSPs in their examination of Bills and other parliamentary business.
The Bill was introduced on 25 March 2019
At Stage 1, the Bill is given to a lead committee. This is usually the committee whose remit most closely relates to the subject of the Bill. The lead committee will consider and report on the Bill. Other committees may also examine the Bill and report to the lead committee. Finally, there is a debate and vote by all MSPs on the general principles of the Bill. If the general principles are not agreed to, then the Bill ‘falls’ and can’t become law.
The lead committee for this Bill is the Local Government and Communities Committee. The lead committee considers and reports on the Bill.
The lead committee will usually examine the Bill through evidence sessions. This will involve contributions from individuals and organisations, known as 'witnesses', with knowledge of the subject matter. The committee might also discuss the Bill in private sessions.
The deadline for sharing your views on this Bill has passed.
If a Bill is relevant to more than one committee, 'secondary committees' may consider and report on the general principles of the Bill to the lead committee. Some Bills may also be considered by the Delegated Powers and Law Reform Committee or the Finance and Public Administration Committee.
A Stage 1 debate took place on 10 October 2019 to consider and decide on the general principles of the Bill.
Result 97 for, 0 against, 6 abstained, 26 did not vote Vote Passed
See further details of the motion
The Bill ended Stage 1 on 10 October 2019
At Stage 2, MSPs can propose changes to a Bill. These are called 'amendments'. Any MSP can suggest amendments but only members of the Stage 2 committee can decide on them.
Documents with the amendments considered at this meeting held on 27 November 2019:
First Marshalled List of Amendments for Stage 2 (327KB, pdf) posted 26 November 2019
First Groupings of Amendments for Stage 2 (418KB, pdf) posted 26 November 2019
Documents with the amendments considered at this meeting held on 4 December 2019:
Second Marshalled List of Amendments for Stage 2 (259KB, pdf) posted 02 December 2019
Second Groupings of Amendments for Stage 2 (279KB, pdf) posted 02 December 2019
A Stage 2 'Marshalled List' is a list of all the amendments that have been lodged at Stage 2 (or, if the Stage is mid-way through, all those still to be dealt with). They are listed in the order in which they will be called by the convener and then decided on.
A 'Groupings' list shows how the amendments that are listed in the Marshalled List have been grouped together for debate. Each group contains amendments that are related to each other, even if they are at different places in the Marshalled List.
If a Bill is relevant to more than one committee, 'secondary committees' may consider and report on the general principles of the Bill to the lead committee. Some Bills may also be considered by the Delegated Powers and Law Reform Committee or the Finance and Public Administration Committee.
Supplementary Financial Memorandum (269KB, pdf) posted 06 January 2020
Supplementary Delegated Powers Memorandum (164KB, pdf) posted 14 September 2020
Sometimes an amendment at Stage 2 makes substantial changes to a bill. If this happens, the Accompanying Documents need to be updated to explain what these changes are.
The Bill ended Stage 2 on 4 December 2019
At Stage 3, MSPs can propose further amendments (changes) to the Bill. These are debated and decided on in the Debating Chamber. At this stage, all MSPs can vote on them. There is then a debate on whether to pass the Bill. If the Bill is not passed, it ‘falls’ and can't become law.
Documents with the amendments that will be considered at the meeting held on 4 February 2020:
Marshalled List of Amendments for Stage 3 (231KB, pdf) posted 31 January 2020
Groupings of Amendments for Stage 3 (237KB, pdf) posted 31 January 2020
A Stage 3 'Marshalled List' is a list of all the amendments that have been proposed at Stage 3 and that have been selected by the Presiding Officer. They are listed in the order in which they will be called by the Presiding Officer and then decided on.
A 'Groupings' list shows how the amendments that are listed in the Marshalled List have been grouped together for debate. Each group contains amendments that are related to each other, even if they are at different places in the Marshalled List.
‘Timed Groupings’ are usually produced at Stage 3 and set out how long Parliament expects to spend debating the groups of amendments.
Once MSPs have decided on the amendments, they debate whether to pass the Bill.
Result 78 for, 32 against, 6 abstained, 13 did not vote Vote Passed
See further details of the motion
The Bill ended Stage 3 on 5 February 2020
If the Bill is passed, it is normally sent for Royal Assent after about 4 weeks. Royal Assent is when the Bill gets formal agreement by the King and becomes an Act of the Scottish Parliament. Some Acts become law straight after Royal Assent. Some only come into force on a later date. Sometimes different bits of the same Act become law on different dates.
This Bill was passed on 5 February 2020 and became an Act on 11 March 2020.