Detailed guide: Annual Tax on Enveloped Dwellings: returns

Overview

If ATED applies to your property, you’ll need to submit a return each year.

If you don’t complete and send your return and payment on time, you might have to pay a penalty and interest.

When to submit your return

Normally you need to submit your return:

• by 30 April if your property is within the scope of ATED on 1 April
• within 30 days of acquisition if your property comes within the scope of ATED after 1 April
• for a newly built property within 90 days of the earliest of the date your property becomes a dwelling for Council Tax purposes or the date it’s first occupied

From 1 April 2016 there’s a new band for properties valued at more than £500,000 but less than £1 million. Returns for properties in this band are due for the chargeable periods 1 April 2016 to 31 March 2017 onwards. The usual filing date for these returns is also 30 April.

For example, if you hold a property on 1 April 2016 valued between £500,000 and £1 million, you must file a return by 30 April 2016.

Sections 2 and 33 of the returns notice explains more about when to submit your return, including when you’ve already submitted a return or relief declaration.

How to submit your return

You can submit your ATED return or Relief Declaration Return using the online forms.

If you own more than one property and have tax to pay, you’ll need to complete a separate ATED return for each property.

If you don’t want to submit your ATED return online you can submit a paper return.

There’s guidance available to help you complete your return.

Register for the ATED online service

When you register for the online service you can:

• file returns from 1 April 2017 onwards
• appoint an agent during registration

Relief Declaration Return

There are separate Relief Declaration Return forms for each relief you claim. If you’re claiming the same relief for more than one property you only need to complete one form to claim that relief.

Service Availability

HM Revenue and Customs (HMRC) services may be slow during busy times. Check if there are any current problems with this service, or times it won’t be available.

Changes to your return

You can make changes to a return you’ve already sent.

When to submit an amended return

If you need to change the information on your original return for example because you can now claim a relief, or because the information you sent was wrong, you can submit an amended return. You’ll need to tick the ‘amend return’ box and explain why you’re changing it.

You should submit your amended return within 12 months of the end of the relevant period. For example – if the change is for the period 1 April 2014 to 31 March 2015, you should submit it by 31 March 2016.

If you submitted your original return after 1 January following the end of the relevant chargeable period, you’ll need to make any changes within 3 months of the date you submitted your original return.

When to submit a further return

If a change in circumstances means your tax increases, for example you are no longer able to claim a relief, you should submit a further return.

You normally need to submit this return 30 days after the end of the chargeable period or 30 days from the start of the next chargeable period.

For example – if the change happened in the period 1 April 2014 to 31 March 2015, you should submit it by 30 April 2015.

Penalties and appeals

Penalties

You could be charged a penalty and interest:

• if you don’t file your ATED Return on time
• for failure to pay on time
• for inaccuracies

Appeals

If you disagree with an HMRC decision about your ATED return, for example a penalty or determination, you may be able to challenge it by appealing.

You have 30 days from the date of the decision to write and tell HMRC the grounds on which you’re appealing.

Write to: