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ICAEW's Tax Faculty's provides a summary of the announcements on property tax in the Spring Budget 2021, including ATED and stamp taxes.

Annual tax on enveloped dwellings 

The annual tax on enveloped dwellings (ATED) will rise by 0.5% from 1 April 2021 in line with the September CPI.

The revised rates are as follows: 

Property value

Charge for tax year 2021/22

Charge for tax year 2020/21

More than £500,000, but not more than £1m

£3,700

£3,700

More than £1m, but not more than £2m £7,500 £7,500
More than £2m, but not more than £5m £25,300 £25,200
More than £5m, but not more than £10m £59,100 £58,850
More than £10m, but not more than £20m £118,600 £118,050
More than £20m £237,400 £236,250

Note: the charge applies for years beginning on 1 April and ending on 31 March, rather than tax years.

ATED relief for housing co-operatives 

Find out more about this relief in our stamp taxes section.  

ICAEW Know-How from the 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.

More on Budget 2021

Read the rest of the Tax Faculty's summary of the tax related announcements in the Budget on 3 March 2021.

Read now