Changes to Tax on Enveloped Dwellings (ATED)

The returns and tax are normally due by 30th April in advance of the year but for the year commencing 1st April 2015, returns falling into the new band of between £1-2 million are not required until 1st October 2015 with tax payable by 31st October for this year only. This means that a further tax return and tax payment will be required just 6 months later on 30th April 2016. If a dwelling is acquired, an ATED return and tax payment is due within 30 days.

A separate HMRC agent’s authorisation is required for ATED even if one exists for other taxes and this registration should be undertaken as quickly as possible. Valuations as at 1st April 2012 should be obtained for properties who will be caught by the lowering of the ATED catchment limits this April, unless the property is acquired later, in which case the cost of acquisition can be used.

Contact us for more information or to register.