Residential Property Tax
Residential property Tax was:
The tax was charged at 1.5% on the excess of the market value of all residential properties of a person over an exemption limit and is payable provided the income of the household exceeds an income exemption limit. RPT was abolished with effect from the 5th April 1997.
The exemption limits for valuation date 5 April, 1996 were:
Marginal relief applies where the gross household income for the tax year 1995/96 exceeded £30,100 and did not exceed £40,100 (£45,100 for owner(s) aged 65 or over on 5 April, 1996)
How to calculate Marginal Relief
(a) Aged Under 65
Marginal relief is granted by applying the formula:
T x (A – E) / 10,000
(b) Aged 65 or over
Marginal relief is granted by applying the formula
T x (A – E) / 15,000
The tax payable is reduced by 10% in respect of each dependent child.
A dependent child must:
How to calculate Child Relief
You reduce the tax due by 10% for each dependent child.