Legislation has been handed in Scotland which can enable native authorities to cost as much as double council tax charges on second houses.
The new powers had been authorised by the Scottish parliament on Thursday.
The change – a programme for presidency dedication – will deliver the tax guidelines on second houses into line with long-term empty houses from April 2024.
The Scottish authorities hopes the transfer will enhance housing availability by encouraging extra houses for use for dwelling in.
New homeowners of properties which have beforehand been empty for greater than a 12 months will probably be given a six-month grace interval – with the potential for that to be prolonged by councils.
This will probably be topic to proof that renovations or repairs are being undertaken by the proprietor with a view to the constructing being introduced again into use.
Public finance minister Tom Arthur mentioned: “A majority of those that responded to our session earlier this 12 months supported councils with the ability to cost a council tax premium on prime of standard charges for second houses.
“By protecting those renovating an empty home from paying the empty home premium, we are incentivising new ownership and giving them time to organise and undertake the work necessary to bring it back into use.”
A second house is classed as any residence that isn’t used as somebody’s major residence however is occupied for at the least 25 days in a 12 months.
Latest figures present that on the finish of September 2022, there have been 24,287 second houses in Scotland.
Second houses are presently topic to a default 50% low cost on council tax.
However, native authorities have the ability to differ the premium and the bulk cost second householders the total charge of council tax.
In the 2024-25 monetary 12 months, the premium will probably be primarily based on charges from 2023-24.
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In October, First Minister Humza Yousaf introduced a council tax freeze that will preserve charges at present ranges when native authorities set their budgets for 2024-25.
The new rules are a part of a joint plan with the Convention of Scottish Local Authorities (COSLA).
Councillor Katie Hagmann, COSLA’s sources spokesperson, mentioned: “COSLA very much welcomes the ability for councils to take the decision to increase the premium on second homes in their areas.
“This helps our long-standing place that councillors who’re closest to their communities ought to be empowered to take the choices about what finest works of their native communities, demonstrating the worth of the Verity House Agreement.”
Source: information.sky.com”