ATED Rates 2026/27: The Band Table, the FA 2013 s.99 + s.101 Indexation Mechanism, and the 1 April 2027 Revaluation Cycle

The 2026/27 ATED chargeable amounts (verified per gov.uk on 2026-05-22) are £4,600 for properties valued between £500,001 and £1m, £9,450 for £1m to £2m, £32,200 for £2m to £5m, £75,450 for £5m to £10m, £151,450 for £10m to £20m, and £303,450 for over £20m. These figures derive mechanically from the FA 2013 s.99(4) original-enacted table (£3,500, £7,000, £23,350, £54,450, £109,050, £218,200) indexed for each chargeable period via FA 2013 s.101 by the September-to-September CPI rise, rounded down to the nearest £50, with a Treasury Order specifying the new figures issued before 1 April each year. The November HMRC announcement of next-year figures references the September CPI publication; the gov.uk ATED rates-and-allowances page is the operative public source.

The taxable value for any chargeable period is the open-market value of the single-dwelling interest at the most recent valuation date that pre-dates the start of the chargeable period (FA 2013 ss.102 to 105). For 2026/27, the operative valuation date for most dwellings is 1 April 2022 (the most recent 5-yearly revaluation date). The next 5-yearly revaluation date is 1 April 2027; from the 2027/28 chargeable period onwards, the chargeable value is the 1 April 2027 open-market valuation. Owners holding properties near band boundaries should commission a 1 April 2027 RICS valuation in early 2027 and engage the HMRC Pre-Return Banding Check (PRBC) concession if the valuation lands within 10% of a band boundary.

This page walks the verified 2026/27 and 2025/26 comparison table, the s.99 plus s.101 indexation mechanism, the 5-yearly revaluation cycle and 1 April 2027 next-revaluation note, the chargeable-period definition and return deadline, the taxable-value framework, the PRBC route at band boundaries with worked example, mid-period acquisition pro-rata under s.99(5)-(6), mixed-use apportionment under s.116, and 14 of the most common rate-lookup questions. For the strategic question of whether to envelop UK residential property at all, see our ATED pros and cons page. For the revaluation-date deep-dive on valuation methodology, expert evidence and PRBC submission process, see our ATED valuation date page. For the penalty mechanics that bite on missed returns, see our ATED penalties and appeals page.

The verified 2026/27 and 2025/26 band table

Taxable value band	2026/27 chargeable amount	2025/26 chargeable amount	Year-on-year change
£500,001 to £1m	£4,600	£4,450	+£150
Over £1m to £2m	£9,450	£9,150	+£300
Over £2m to £5m	£32,200	£31,050	+£1,150
Over £5m to £10m	£75,450	£72,700	+£2,750
Over £10m to £20m	£151,450	£146,050	+£5,400
Over £20m	£303,450	£292,350	+£11,100

Source: HMRC gov.uk ATED rates-and-allowances publication, verified 2026-05-22. The year-on-year changes derive from the FA 2013 s.101 CPI indexation mechanism applied to the FA 2013 s.99(4) statutory base figures, rounded down to the nearest £50 per the s.101 round-down rule. Note that ATED bands themselves (£500k, £1m, £2m, £5m, £10m, £20m thresholds) have been unchanged since 2015/16; only the chargeable amounts within each band are indexed.

The FA 2013 s.99 plus s.101 indexation mechanism walked

The statutory mechanism is more mechanical than most public commentary suggests. The six steps below set out the full calculation chain from the 2013 statutory floor to the current-year operative amount.

1. FA 2013 s.99(4) original-enacted table. Six annual chargeable amounts from the 2013/14 chargeable period: £3,500 (band 1, £500k to £1m); £7,000 (band 2, £1m to £2m); £23,350 (band 3, £2m to £5m); £54,450 (band 4, £5m to £10m); £109,050 (band 5, £10m to £20m); £218,200 (band 6, over £20m). These are the statutory floor figures.
2. FA 2013 s.101 indexation formula. For each subsequent chargeable period: previous year's chargeable amount multiplied by (1 + September-to-September CPI rise), rounded down to the nearest £50. The CPI reference month is September of the year before the chargeable period starts; the September 2025 CPI publication drives the 2026/27 figures.
3. Treasury Order timing. The Treasury must issue the order specifying the new chargeable amounts before 1 April of each chargeable period. In practice the figures are announced in November (after the September CPI publication), giving owners time to plan and budget for the next financial year.
4. Cumulative effect 2013/14 to 2026/27. Across 13 indexation periods (2013/14 base applied through to 2026/27), the cumulative CPI uplift is roughly 31 to 39% depending on band. Band 1 went from £3,500 to £4,600, a +31% rise. Band 6 went from £218,200 to £303,450, a +39% rise; the higher band cumulates marginally faster because each band-specific figure is rounded down individually each year and the relative round-down loss is smaller at higher bands.
5. The £50 round-down. Each year's indexed figure is rounded down to the nearest £50, not the nearest pound. This is a statutory simplification: a notional indexed figure of £303,488 becomes £303,450; a notional £4,612 becomes £4,600. The round-down has been consistently in HMRC's favour relative to a no-rounding alternative but is small relative to the headline amounts.
6. The November announcement cycle. Each November, HMRC announces the next-year figures via a Treasury Order and gov.uk publication. Owners with valuations within 10% of a band boundary should engage with the PRBC mechanism early in the November-to-March window and plan their next-year filing position promptly. The November announcement does not change the band thresholds; only the chargeable amounts within each band.

The 5-yearly revaluation cycle and 1 April 2027

The 5-yearly revaluation cycle under FA 2013 ss.102 to 105 sets the chargeable value as the open-market value at the most recent valuation date that pre-dates the start of the chargeable period. Statutory valuation dates are 1 April 2012 (the original baseline), 1 April 2017, 1 April 2022, 1 April 2027, and every five years thereafter. The next valuation date is 1 April 2027.

For the 2026/27 chargeable period (1 April 2026 to 31 March 2027), the operative valuation date for most dwellings is 1 April 2022. Owners holding the property throughout the 2022 to 2027 cycle use the 1 April 2022 open-market value. New-build and converted dwellings under FA 2013 ss.124-125 use acquisition or construction-completion value as a transitional measure until the next 5-yearly revaluation date.

The 1 April 2027 revaluation will reset the chargeable value for 2027/28 onwards. Properties that have appreciated materially since 1 April 2022 may move up a band; properties near band boundaries at 1 April 2022 may move band in either direction. Owners holding properties near the £1m, £2m, £5m, £10m or £20m boundaries should commission a 1 April 2027 RICS valuation in early 2027 and use the HMRC PRBC route where the valuation lands within 10% of a band boundary.

The 5-yearly cycle should not be confused with annual indexation. The band thresholds (£500k, £1m, £2m, £5m, £10m, £20m) have not changed since 2015/16 and are not expected to change in the 2027 revaluation cycle. The chargeable amounts within each band continue to be CPI-indexed annually per s.101, separately from the 5-yearly valuation reset. The next revaluation changes the input (the value), not the output (the band structure or the indexation mechanism).

Chargeable period and return deadline

The ATED chargeable period is 1 April to 31 March per FA 2013 s.99(2). The 2026/27 chargeable period runs 1 April 2026 to 31 March 2027. The return and payment are due 30 April 2026 per FA 2013 s.159 for annual existing-property returns. For mid-period acquisitions or new chargeable events, the return is due within 30 days of first becoming chargeable; the 30-day clock runs from completion (not exchange).

The ATED year-end is 31 March, not 5 April. Calendaring is the single most common operational error in ATED compliance, particularly in companies whose accountants are typically primed for income-tax and CGT year-ends at 5 April. The 30 April filing deadline applies to the operative ATED year, not the income-tax year; a diary entry of "30 April" must be unambiguous about which deadline it refers to.

Mid-period acquisition pro-rata: Trevor Holdings Limited

Trevor Holdings Limited (UK ltd-co) acquires a £3.2m London BTL flat on 1 October 2026 (182 days remaining in the 2026/27 chargeable period). No relief applies (let to a connected family member; the CIHC plus ATED relief is blocked by the connected-occupant carve-out).

Band determination: £3.2m falls in the £2m to £5m band, giving the 2026/27 annual chargeable amount of £32,200. Pro-rata calculation per FA 2013 s.99(5)-(6): £32,200 multiplied by (182 / 365) = £16,055 (HMRC accepts the figure to the nearest pound on the return). Return and payment deadline: ATED return required within 30 days of first becoming chargeable per FA 2013 s.159; for the 1 October 2026 acquisition that is 31 October 2026.

For the following chargeable period (2027/28), the operative valuation date is 1 April 2027 (the next 5-yearly revaluation date). Trevor must commission a 1 April 2027 valuation; if the property has appreciated to £4.1m or beyond, the £2m to £5m band still applies at the indexed 2027/28 chargeable amount; if it has moved beyond £5m, the £5m to £10m band applies. The full-year return and payment for 2027/28 is due 30 April 2027.

The operational lesson is that mid-period acquisitions have a tight 30-day return window from chargeability, distinct from the annual 30 April deadline; the pro-rata calculation is mechanical; and the 5-yearly revaluation reset at 1 April 2027 creates a fresh banding check for the following period. Where the acquisition completes in late March of a chargeable year, the return for that chargeable period plus the next chargeable period's return both fall due within 30 to 35 days; specialist representation is valuable for the dual-deadline scenario.

The Pre-Return Banding Check: Olivetti Holdings Limited

Olivetti Holdings Limited (UK ltd-co holding a London townhouse) commissioned a RICS valuation at 1 April 2022 of £1,030,000. The property is within 10% of the £1m band boundary (boundary value £1m; difference £30,000, 3% above). A plausible valuation range within 10% of the boundary covers both bands.

If the valuation is £999,000 (below £1m): 2026/27 chargeable amount £4,600 (band 1). If the valuation is £1,001,000 (just above £1m): 2026/27 chargeable amount £9,450 (band 2). The band-boundary effect is £4,850 per year, around £24,250 over a 5-year cycle. The PRBC route allows Olivetti to engage HMRC in advance.

1. Olivetti submits the PRBC to HMRC with the RICS valuation report, methodology notes and comparator evidence (recent sales of comparable London townhouses in the same micro-market).
2. No fee. HMRC issues a published view (typically within 30 to 60 days; longer for complex or multi-property cases).
3. The PRBC view is not statutorily binding but represents HMRC's considered position on the valuation evidence presented; submitting the PRBC view on the return is treated as good-faith disclosure for Sch 24 inaccuracy purposes.
4. If HMRC's PRBC view is band 1 (under £1m), Olivetti files at band 1 with the PRBC reference; any later HMRC enquiry finds a documented HMRC pre-position. Sch 24 inaccuracy exposure is mitigated.
5. If HMRC's PRBC view is band 2 (over £1m), Olivetti has the option to file at band 2 (paying the higher charge with certainty) or to commission a more rigorous valuation challenging the PRBC view and file at band 1 with a fully-documented position. The second option carries higher inaccuracy-risk on later HMRC enquiry but lower-charge if substantively defensible.

The PRBC is the single most valuable HMRC concession for owners with borderline valuations. The 10% threshold around any band boundary (£500k, £1m, £2m, £5m, £10m, £20m) is the operative range; below 10% deviation, PRBC is available. The concession is voluntary, not mandatory; the alternative is self-assessment at the boundary with full Sch 24 inaccuracy exposure on later HMRC enquiry.

Mixed-use apportionment: Saffron Estates Cayman Limited

Saffron Estates Cayman Limited (Cayman company) owns a 1,800 sq ft mixed-use building on a London high street comprising a 500 sq ft ground-floor retail unit (let to a commercial tenant on a 10-year lease at £55,000 a year) and a 1,300 sq ft first-floor and second-floor residential apartment (let to a connected family member as primary residence). Whole-building open-market value at 1 April 2022: £1,650,000.

Step 1: apportion the value between residential and non-residential elements per FA 2013 s.116 just-and-reasonable test. Floor-area basis: residential 1,300 / 1,800 = 72.2% of floor area; £1,650,000 multiplied by 72.2% = £1,191,700 residential value. Value-based basis (alternative): residential value via residential-only comparable or yield analysis suggests £1,180,000 (broadly aligned with the floor-area approach). HMRC accepts either approach where consistent with the available evidence; documented methodology is essential. Where the two approaches diverge materially, the appellant should be ready to defend the chosen approach with reasoned analysis.

Step 2: determine ATED applicability of the residential element. The residential element value (£1,191,700 on the floor-area basis) is above the £500,000 ATED threshold, so ATED applies. Band: £1m to £2m; 2026/27 chargeable amount £9,450 (the residential element is charged at the band that covers the residential value, not at a fraction of the whole-building band).

Step 3: CIHC and connected-occupant trap. The residential element is let to a connected family member; the let-to-connected-occupant carve-out defeats the property-rental-business relief under FA 2013 s.133 and blocks the related-persons-market-rent route under s.18N. Full residential-element annual chargeable amount: £9,450 (no relief; full year).

Step 4: PRBC route available if the residential-element valuation is contentious. The apportionment methodology and the residential-element value are both PRBC-eligible if either is within 10% of a relevant boundary (the £500k entry threshold, the £1m boundary, etc.). Saffron should commission a focused PRBC for the residential element rather than the whole building.

Mixed-use treatment under s.116 is one of the most-litigated corners of ATED compliance because the floor-area-versus-value-basis choice can swing band placement. The just-and-reasonable test is a fact-finding question for the FTT on any later dispute; the documentation pack at the time of filing (RICS valuation, methodology notes, comparable evidence for both apportionment bases) determines the strength of the eventual position.

Reliefs and the rate

Reliefs do not reduce the ATED rate; they remove the charge for relieved periods entirely. The catalogue at FA 2013 ss.132 to 150 covers property-rental-business relief (s.133), property-developer relief (s.138), property-trader relief (s.141), farmhouse relief (s.144), open-to-the-public relief, employees-relief and other niche categories. Where relief covers the whole chargeable period, no ATED is payable for that period.

The return obligation continues, however. A claim-only return (declaring the relief and the relieved chargeable amount of £0) must still be filed by 30 April of the chargeable period per FA 2013 s.159. Failing to file the claim-only return triggers the £100, £200, £300, £300 late-filing escalator under FA 2009 Sch 55 paragraphs 3, 4, 5 and 6, even though no tax is due. The relief catalogue does not exempt the filer from the return obligation; it removes the chargeable amount, not the filing requirement.

Where relief is partial (say, relief for the first 200 days of the chargeable year, no relief for the remaining 165 days), the chargeable amount for the relieved period is removed; the remaining-period charge calculation depends on the specific relief and the FA 2013 s.158 mechanics for relief overlap. The full mechanics of relief claim, clawback and partial-year apportionment are covered on our dedicated relief pages; this page handles the rate side only.

Penalty exposure for under-banded or unfiled returns

Under-banding (filing at band 1 where the correct band is band 2 or higher) triggers Sch 24 inaccuracy exposure. The behaviour-tiered penalty regime under FA 2007 Sch 24 paragraphs 3, 4 and 4A applies: careless 0 to 30%; deliberate not-concealed 20 to 70%; deliberate-concealed 30 to 100%; offshore Category 3 uplift up to 200%. The PRBC route pre-empts this risk where the band is borderline; documented RICS valuation plus comparable evidence supports a good-faith disclosure framing.

Unfiled returns trigger Sch 55 late-filing penalties (£100, £200, £300, £300 escalator plus tax-geared paragraph 6 uplift), Sch 56 late-payment penalties (5%, 5%, 5% if tax is also unpaid) and Sch 24 inaccuracy if the position is later restated. For the full Sch 55, Sch 56 and Sch 24 architecture across all three regimes plus the appeal mechanics, see our ATED penalties and appeals page.

Common misframings the page corrects

ATED applies to UK companies, not only to overseas companies. The original ATED statute is FA 2013 Part 3, not Schedule 33. Rates are CPI-indexed annually per s.101, not frozen since 2013. The current operative valuation date is 1 April 2022 for the 2026/27 chargeable period but the next revaluation date is 1 April 2027 and owners should plan ahead. PRBC is a voluntary HMRC concession, not a mandatory requirement, and not statutorily binding (though typically held to). Reliefs remove the charge entirely; they do not reduce the rate. Bands themselves have been unchanged since 2015/16; only the chargeable amounts within each band are indexed. The ATED chargeable period is 1 April to 31 March, not 1 April to 5 April. New-build and converted dwellings use acquisition or construction-completion value until the next 5-yearly revaluation date, not the most recent statutory valuation date. Mixed-use buildings are not excluded from ATED; the residential element falls in scope under s.116 just-and-reasonable apportionment if its apportioned value exceeds £500,000.

Frequently asked questions

The FAQ list above covers the verified 2026/27 chargeable amounts, the s.99 plus s.101 indexation mechanism, the chargeable-period definition, the taxable-value framework, the 1 April 2027 next-revaluation date, the PRBC route at band boundaries, mid-period acquisition pro-rata, mixed-use apportionment, the relief-versus-rate distinction (reliefs remove the charge, they do not reduce the rate), the band-unchanged-since-2015/16 framing, the UK-companies-in-scope clarification, Sch 24 inaccuracy exposure for under-banding, the £50 round-down logic and the November Treasury announcement cycle. For the broader ATED context, see our complete ATED guide for 2026/27. For valuation methodology, expert evidence and PRBC submission process, see our ATED valuation date page.

Next step

If you are an ATED filer with properties near a band boundary, with multi-property structures spanning bands, or facing the 1 April 2027 revaluation cycle, the PRBC route, the apportionment methodology and the new-valuation-date timing all benefit from specialist representation. The 30 April annual deadline is unforgiving; the 30-day clock for mid-period acquisitions is tighter still. Contact us via the form below to discuss your portfolio and the right filing position for 2026/27 and beyond.