Council Tax (Hansard, 19 April 1994)

§ Mr. Cann
To ask the Chancellor of the Exchequer how many domestic properties in England and Wales have been re-banded on sale and repurchase; and, of these, how many have had their banding increased and how many decreased.

§ Mr. Nelson
The Valuation Office Agency does not keep a record of how many bandings are increased or decreased in England and Wales as a result of a sale.

§ Mr. Cann
To ask the Chancellor of the Exchequer (1) what criteria are used to decide the rebanding of domestic properties on sale and repurchase;
(2) what steps are taken by the Inland Revenue to review the banding for council tax purposes on the sale and repurchase of domestic properties.

§ Mr. Nelson
A listing officer is required to alter the banding of a property following the sale or other relevant transaction if the banding does not reflect the value added by improvements carried out by the previous taxpayer. Otherwise, the listing officer will review a banding following sale of the property only if the sale price is significantly different from the figure that would reasonably have been expected at that date for a property with that banding. In such cases, he will consider all the evidence available to him of the value of the property as at the valuation date of 1 April 1991, including any relevant sale prices at or around that date, in order to establish whether there is any inaccuracy that requires to be remedied.

§ Mr. Cann
To ask the Chancellor of the Exchequer if it is his policy to reband other similar properties in the same area where a property is rebanded for council tax purposes on sale and repurchase.

§ Mr. Nelson
Where a property is reviewed and rebanded following a sale or other relevant transaction because the band does not reflect the value of the improvements carried out by the previous taxpayer, the banding of other similar properties in the locality is not reviewed. Where a property is reviewed and rebanded following a sale which indicates that the original entry in the compiled valuation list was incorrect and the listing officer is aware that similar properties in the locality may be incorrect, the banding of those properties is reviewed.