ATED (Annual Tax of Enveloped Dwellings)

We have significant specialist experience, and expertise, in helping clients successfully claim ATED relief. It’s typically claimed for commercial use, and made in advance of each year, and soon after acquisition.

ATED is applied to all residential property worth over £500,000 owned by a non-natural person, such as company. This tax is one of the few taxes which is charged in April, at the start of the tax year,

ATED ranges from £3,500 to £236,250 depending on the property value – so relieve savings can be large. However if the use of the property changes during the year then updated ATED returns/relief claims will be required.

ATED Case Study

The ATED problem

A client transferred their portfolio of properties into a company to reduce tax liabilities. However this triggered a potential ATED issue.

How We helped

The clients’ properties qualified for relief and we helped them to do so.

However one property probably fell outside of the ATED regime.

We advised the client that the consequences of HMRC disputing this meant they might have not claimed relief. This was an expensive risk and so we advised the client to claim relief just in case.

The Result

Relief was successfully claimed on all properties. The client enjoys the benefit of reduced tax on their entire property portfolio.

Contact us early to help us apply for ATED relief.