CIL Self-build Disqualifying event - Public forum - Planning Advisory Service (PAS)
CIL Self-build Disqualifying event
Hello,
I have a case where a Full Planning Application is for the errection of two dwellings. These were sold to two different parties and both parties were awarded a Self-build exemption.
Both dwellings have now been completed and we are awaiting the submission of Form 7 part 2 from each party.
One of the parties has notified us that they have sold their dwelling and therefore have a disqualifying event and the full levy will be payable.
Could someone please advise that if one of the parties has a disqualifying event, the same disqualifying applies to the other party because both dwellings are on the same planning permission?
Thank you
Suzannne
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Hi Suzanne,
As Regulation 54A(1) states that you can have self-build exemption for part of a chargeable development. Then I would only apply the disqualifying event to the relevant part. Therefore, I wouldn't apply the disqualifying event to the part of the chargeable development that is still compliant.
Hello Claire,
Thank you for your reply. It has been most helpful having another opinion.
Hi Suzanne,
The other thing that might have an influence is whether the planning permission had a phasing plan. CIL is due on commencement of development, so if there is a phasing plan then the two plots can be commenced separately and each owner will have a separate CIL requirement.
Was the application an Outline permission? Assume it would have been to enable two separate end users to have primary input into design and layout.
Kind regards, James
Morning Suzanne,
We've had a few of these over the years and have only charged the dwelling thats been sold. I personally feel this is a loop hole in the regs wherethe applicant has no intention of living in the property on completion of build but applies for self-build releif to delay payment of CIL, just my thoughts though!
Hello James & Debbie,
Thank you both for your input on this query, it has been most helpful in gaining a better understaning of Legislation around self-build exemptions.
I agree with you Debbie, it does seem to be a loophole tthat some are using to delay payment!