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The basis of valuation for a dwelling which is not used for any
business purpose is the amount which, subject to certain assumptions,
it would have sold for on the 'open market' by a 'willing vendor'
on 1 April 1991 in England and 1 April 2003 in Wales.
- 'open market'
means a market where the property is offered openly with adequate
publicity being given to the sale. Please note that if your property
was purchased under a discount scheme (such as 'Right to Buy')
this does not fall within the definition of 'open market' and
therefore will not apply.
- 'willing
vendor' means someone who sells the property as a free agent and
not someone who is forced to do so.
Why 1 April
1991 in England?
Council Tax came into effect on 1 April 1993. However, the process
of valuing every domestic property in England and Wales for banding
purposes started some time before this. Therefore, we had to adopt
a valuation date prior to 1 April 1993 so that all properties would
be valued on a common footing. Even if your property was built after
1 April 1993, we must band the property according to what we think
that its value would have been on 1 April 1991. This means that
recent sale prices are not necessarily a good guide to the correct
band for a property.
In Wales properties were revalued by reference to values at 1 April 2003, as these came into effect on 1 April 2005.
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