In addition, an ATED charge is payable annually in advance by 30 April unless a relief is claimed.

When is an ATED return due and the charge payable?

An ATED return and the associated charge is payable by 30 April of each year, in advance of the ATED period. The chargeable period is from 1 April to 31 March.

What are the ATED reliefs?

Relief is available where the property is held for the following purposes:

• Let to a third party on a commercial basis and is not, at any time, occupied (or available for occupation) by anyone connected with the owner
• Open to the public for at least 28 days a year
• Being developed for resale by a property developer
• Owned by a property trader as the stock of the business for the sole purpose of resale
• Repossessed by a financial institution as a result of its business of lending money
• Acquired under a regulated home reversion plan
• Being used by a trading business to provide living accommodation to certain qualifying employees
• A farmhouse occupied by a farm worker or a former long-serving farm worker
• Owned by a registered provider of social housing or a qualifying housing co-operative

Where a relief can be claimed, a ’Relief Declaration Return’ must be filed.

What are the ATED exemptions?

If one of the exemptions listed below are met a return does not need to be filed:

• Charitable companies, using the dwelling for charitable purposes
• Listed public bodies
• Bodies established for national purposes

Valuation date

ATED was first introduced by HMRC on 1 April 2013. Initially, ATED returns were required to be filed by companies who owned a UK residential property valued in excess of £2 million. This threshold was reduced to £1 million from 1 April 2015 and then further to £500,000 from 1 April 2016. HMRC require properties to be revalued every five years.

The current five yearly revaluation date of 1 April 2022 came into effect from 2023/24 (1 April 2023 to 31 March 2024 chargeable period) and will apply through to 2027/28 (1 April 2027 to 31 March 2028 chargeable period).

If the property is acquired after 1 April 2022, the property valuation is at the purchase (completion) date.

You can value the property yourself, however, we would recommend using a professional valuer. The valuation must be based on the open-market value of the property (in pound sterling) and for a specific amount. Documents supporting the valuation should be kept.

When the ATED relief cannot be claimed

There is usually an increase in the ATED charge applied annually.

The 2025/26 ATED charges (1 April 2025 to 31 March 2026) are as follow:

Acquisition of a residential property midway through the chargeable period

A company is required to file an ATED return, and pay any charge due, within 30 days of acquisition of a UK residential property valued at more than £500,000. If an ATED charge is payable it will be pro-rated on a daily basis.

New dwellings and Conversions

The reporting requirement for ATED for New dwellings and Conversions is 90 days from the earlier of:

• The day on which the dwelling is deemed to come into existence for Council Tax or (in Northern Ireland) domestic rating purposes
• The day on which the dwelling is first occupied

What if I have not previously filed an ATED return?

Dealing with HMRC to update your filing obligations can be time-consuming and stressful. Blick Rothenberg experts can guide you through the voluntary disclosure procedure and provide you with an estimate of the penalties and late interest charge due to HMRC.

The annual ATED return – How we can help you

Blick Rothenberg as agents, can prepare and submit the annual ATED return to HMRC on your behalf, including advising you on your eligibility to claim any ATED relief.

If you would like to discuss any of the above, please speak to your usual Blick Rothenberg contact or Heather Powell using the form below.