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Business News
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Revenue relents on home workers
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MILLIONS of people
working from home who have been threatened with paying business
property rates on top of council tax have won a victory over
the Inland Revenue after a landmark case brought by one of its
own employees. Eileen Tully, who works for the Revenue,
mounted a successful challenge against her employer's policy
of threatening people working from home with paying business
rates as well as council tax.
The Valuation Office Agency, the branch of the Revenue that assesses
properties for business rates, said it would not appeal the decision.
It also agreed to change its guidance to ensure that people working
from home, provided they are not running a full-scale business
or employing people on the premises, will not be penalised with
extra tax.
Siding with Mrs Tully, the judge at the Land's Tribunal, where
rating cases are heard, said: "There must be very large
numbers of homes in the country in which those living there do
some or all of their work, without any outward indication that
someone is working in the property." He said a home should
only be re-rated if the accommodation loses its domestic character
and where employees visit the premises. |
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