TC09540 - [2025] UKFTT 00600 (TC)

ATED was introduced by the Finance Act 2013. It is charged on a non-natural person (eg a company), the “chargeable person”, entitled to a “single dwelling interest” with a taxable value of more than £500,000 for the periods between 1 April 2016 and 31 March 2017 and each subsequent 12 month period thereafter (see s 94 Finance Act 2013). For the period 1 April 2014 to 31 March 2014 the value of the interest for a liability for ATED to arise was £2 million and was £1 million for the period from 1 April 2015 to 31 March 2016.

The taxable value is determined on a valuation date in accordance with s 102 Finance Act 2013. For years on or before 1 April 2022, 1 April 2012 and each 1 April falling five years or a multiple of five years from 1 April 2012 is the valuation date. For subsequent years it is the date of acquisition.

Section 108(2) Finance Act 2013 provides that a:

For present purposes a “dwelling” is “a building or part of a building” which is “used or suitable for use as a single dwelling” or “is in the process of being constructed or adapted for such use” (see s 112(1) Finance Act 2013).

Where ATED is charged, a chargeable person is required by s 159 Finance Act 2013 to file an ATED return “by the end of the period of 30 days beginning with first day in the period on which the person is within the charge with respect to the interest.”

Sections 133 – 150 Finance Act 2013 provide for relief from ATED. Under s 100 Finance Act 2013 a person may claim relief before the end of the chargeable period. However, s 100(2) Finance Act 2013 provides that all claims for relief must be made in an ATED return or an amendment to such a return. If a claim for relief reduces the charge to ATED to £nil, the claim may, under s 159A Finance Act 2013 which came into effect for chargeable periods beginning on or after 1 April 2015, be made in a “relief declaration return”. A relief declaration return is subject to the same filing dates as an ATED return.