CIL 3-year Clawback Period

[janelondon]

Reading the thread about the VAT reclaim rejection brought to mind a question about the CIL exemption for self-builders. CIL is available to self-builders if the new-build is your "sole or main residence". 

 

However, there is also a clawback provision in the regulations - there is a 3-year clawback period (from the date of the Building Regs Compliance Cert) if a "disqualifying event" occurs. One of the disqualifying events is if the new dwelling is no longer "self-build housing" (54D(2)(a)) - which the regs define as a dwelling built by and occupied by you as your sole or main residence (54A(2)).

 

Question - what if you have obtained the self-build exemption (with the genuine intent of occuping it as your main home) but take a long time to move into the new build for whatever reason (work/family/finances etc.), and the new build is not actually your main residence during the clawback period?  Has anyone heard of enforcement by local councils in this regard to clawback the exemption and demand you pay the levy? Or do they look at intent? Are the regs primarily to keep out pseudo-self builders who are developing for let/sale who may try to evade the levy by claiming exemption? 

[Temp]

I might be wrong but I suspect councils don't have systems in place to check for CIL clawback on a sale let alone the situation you raise.

[newhome]

I think your greater concern may be the property attracting CGT if it’s not your principle residence. 

[jack]

8 hours ago, Temp said:

I might be wrong but I suspect councils don't have systems in place to check for CIL clawback on a sale let alone the situation you raise.

 

Suspect that's right, although presumably it wouldn't be difficult to crosscheck council tax records with CIL info.

[newhome]

11 minutes ago, jack said:

 

Suspect that's right, although presumably it wouldn't be difficult to crosscheck council tax records with CIL info.

 

Plus electoral register? Depends how determined they are I guess if they get suspicious.