ATED deadline approaching: 30 April 2026

As the 30th April 2026 ATED filing deadline approaches, corporate owners of UK residential property should take the opportunity to review their position under the Annual Tax on Enveloped Dwellings (ATED) regime – particularly in light of upcoming valuation changes and the availability of reliefs.

ATED applies to ‘non-natural persons’, including companies and partnerships with corporate members, that hold UK dwellings valued in excess of £500,000.

Start with strategy, not just compliance

Although ATED is often treated as a compliance exercise, it can also present valuable planning opportunities.

The next revaluation date of 1st April 2027 is already on the horizon, and movements in property values could have a significant impact on future liabilities.

Properties currently below the £500,000 threshold may come within scope, while others could move into higher charge bands from April 2028. Reviewing asset values and ownership structures now can help mitigate unexpected exposures later.

What are the ATED charges for 2026/27?

For the chargeable period from 1st April 2026 to 31st March 2027, the annual charges are as follows:

• £500,001 – £1,000,000: £4,600
• £1,000,001 – £2,000,000: £9,450
• £2,000,001 – £5,000,000: £32,200
• £5,000,001 – £10,000,000: £75,450
• £10,000,001 – £20,000,000: £151,450
• Over £20,000,000: £303,450

Reliefs: often overlooked, but critical

A common pitfall is failing to claim available reliefs. Many businesses, particularly those involved in property letting or development, may be able to significantly reduce or eliminate their ATED exposure.

However, these reliefs are not automatic and must be claimed each year, either within the ATED return or via a relief declaration return. Failure to do so can result in unnecessary tax liabilities.

Key deadline considerations

For properties within the regime at the start of the chargeable period, both the return and any tax due must be submitted by 30th April 2026.

Where a property comes within scope partway through the year, companies have a 30-day window from that date to comply.

To streamline reporting, a single relief declaration return can cover multiple properties qualifying for the same relief – something worth factoring into internal processes.

Take a proactive approach: get in touch

Rather than treating ATED as a last-minute filing obligation, businesses should use this period to carry out a broader review – confirming valuations, assessing eligibility for reliefs and preparing for the next revaluation cycle.

Verallo works with property-holding companies to manage ATED compliance while identifying opportunities to optimise their position.

Now is the time to act, get in touch with our experts.