CG72600 - Development value: introduction
The value of land often increases dramatically when it acquires development value, for example following its adoption within a Local Authority development plan or following the granting of planning permission. This fact has given rise to numerous special rules, and indeed special taxes. The main examples are as follows:-
- For land held at 6 April 1965, and disposed of with development value, time- apportionment (see CG15500) does not apply; see CG72602.
- For disposals between 6 April 1967 and 22 July 1970, Betterment Levy, see CG72650, was chargeable; the general guidance on this has now been archived.
- For disposals between 18 December 1973 and 31 July 1976, there was a special charge on development gains; the guidance on this has now been archived.
- For disposals between 1 August 1976 and 18 March 1985, Development Land Tax, see CG72660, was chargeable; the general guidance on this has now been archived.
The only special rule which is still of general relevance is the mandatory 6 April 1965 valuation rule where rebasing to March 1982 is not required (mainly for companies who have not made a rebasing election), although where Betterment Levy or Development Land Tax has been paid on a previous occasion, special reliefs may be available, see CG72650 or CG72660 respectively.