Owners of second homes incorrectly claiming their properties are holiday lets to qualify for tax breaks will be forced to pay council tax rather than business rates under new measures from 1 April 2023.
To qualify as a holiday let from April 2023, a second homeowner will have to prove that it is rented out for a minimum of 70 days a year to qualify for business rates.
A property will only be assessed for business rates rather than council tax if the owner can provide evidence that:
- it will be available for letting commercially, as self-catering accommodation, for short periods totalling at least 140 days in the coming year;
- during the previous year, it was available for letting commercially, as self-catering accommodation, for short periods totalling at least 140 days; or
- during the previous year, it was actually let commercially, as self-catering accommodation, for short periods totalling at least 70 days
Get in touch
If you are an owner of a second home and concerned about these tax changes, please contact our Private Client Services team on 01788 539000 or 0116 261 0061, or email us at [email protected]
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