Potential Council Tax increase for extended or altered property

Did you know that Regional Assessors monitor the Building Control Register? The reason they do this is to check what alterations are being carried out to property and which require a Building Warrant. Once they identify properties that fall into that category, they’ll then consider whether the alterations carried out give rise to an increase in the value of the property.

If you’re the owner who carries out this work, you’ll be naturally delighted if you knew the Regional Assessor considered your extension or improvement works caused the value of your property to increase. After all, that was your expectation too, wasn’t it?

However, one of the repercussions of this arrangement is that when you come to sell your house, the new owner might be faced with a higher Council Tax Band than the Band you are currently in.

This isn’t some “big brother” spying tactic by the Regional Assessors. They have the responsibility to set and manage Council Tax banding on behalf of Scotland’s local authorities. This includes a statutory duty to maintain The Council Tax Valuation List.

The power to conduct these reassessments is contained in The Council Tax (Alteration of Lists and Appeals) (Scotland) Regulations 1993. 1993. Regulation, 4(1)(a)(i) states: “no alteration of a band shall be made unless there has been a material increase in the value of the dwelling and it has subsequently been sold”.

So, if you’ve carried out alterations to your property, don’t worry, as this won’t affect you. However, you might get caught out with an increase in Council Tax if you buy a property that’s been improved, altered or extended.