ICAEW's Tax Faculty's provides a summary of the announcements on property tax in the Autumn Budget 2021.
Annual tax on enveloped dwellings
The annual tax on enveloped dwellings (ATED) will rise by 3.1% from 1 April 2022 in line with the September 2021 CPI.
The rates are as follows:
Property value |
Charge for tax year 2022/23 |
Charge for tax year 2021/22 |
|---|---|---|
More than £500,000, but not more than £1m |
£3,800 | £3,700 |
| More than £1m, but not more than £2m | £7,700 | £7,500 |
| More than £2m, but not more than £5m | £26,050 | £25,300 |
| More than £5m, but not more than £10m | £60,900 | £59,100 |
| More than £10m, but not more than £20m | £122.250 | £118,600 |
| More than £20m | £244,750 | £237,400 |
Note: the charge applies for years beginning on 1 April and ending on 31 March, rather than tax years. There are fixed revaluation dates for all properties and the next date is 1 April 2022, regardless of when the property was acquired.
Residential property developer tax
Real estate investment trusts
Tax Faculty
This guidance is created by the Tax Faculty, recognised internationally as a leading authority and source of expertise on taxation. The Faculty is the voice of tax for ICAEW, responsible for all submissions to the tax authorities. Join the Faculty for expert guidance and support enabling you to provide the best advice on tax to your clients or business.
Budget webinar
The Tax Faculty reflected on the Chancellor's announcements in this essential webinar. Freely available, watch the recording to find out what the Autumn Budget 2021 could mean for you and your clients.
More on Autumn Budget 2021
Read the rest of the Tax Faculty's summary of the tax related announcements in the Autumn Budget on 27 October 2021.
Read now