Holiday Let Changes 2023
Holiday Let Changes
What has changed?
From 01 April 2023, new eligibility rules for business rates will apply to self-catering properties in England and Wales.
If you don’t meet these rules your property will become eligible for paying Council Tax.
The rules will be used in assessments from 1 April 2023. The information about lettings during the 2022/23 operating year will be used to determine whether a property is eligible
Am I eligible?
To continue to be eligible for business rates, from 1 April 2023 your property must be:
- available for letting commercially for short periods that total 140 nights or more in the previous and current year.
- actually let commercially for 70 nights or more in the previous 12 months.
If the evidence provided does not meet the new criteria the property will be banded as a Council Tax property and charged as such.
To find out more, please visit the Gov.UK website
Frequently asked questions
When will the new eligibility rules come in?
The new eligibility rules will be effective from 1 April 2023
Will the new eligibility rules apply retrospectively?
- The new eligibility rules will take effect from 1 April 2023.
- However, we will look at Information about a property's letting during the 2022/23 operating year to assess whether the new eligibility rules have been met.
- If a property does not meet the new eligibility rules for the 2022/23 operating year, the property will be moved out of Business Rates and into the Council Tax Valuation list from 1 April 2023.
Will the new eligibility rules apply to new holiday lets?
- They will apply equally to all self-catering properties across England and Wales. New holiday lets will be liable for Council Tax each day until the property meets the eligibility rules.
- What do I need to do? Property owners do not need to tell the VOA anything now. A valuation officer will ask for this information in the 'Request for Information' form, which will be sent to property owners at a later date. We will consider whether they meet the new rules on the actual lettings for their property in 2022/23.
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