We’ve just set up a holiday cottage business. We converted two derelict agricultural outbuildings into cottages, having received planning permission specifically to do that (ie not permanent domestic dwellings). Yesterday I received a council tax bill amounting to nearly £1000 on the two properties. Council says we have to pay this before we can be liable for business rates (for which we would likely be zero rated due to the small size of the properties).

Feels like we’re being stiffed for something we’ve never had or done – namely have domestic dwellings.

Can anyone tell me whether this is normal practice and whether we just have to pay or have grounds to appeal? Tried to speak to the council but no one there who could help me apparently.

Thanks

Rich

Check the Valuation Office Agency part of gov.uk Website. They determine council tax bands and rateable value for business rates, and I think there is advice on holiday homes on there somewhere.

Sounds like the council are desperate for some money, you should keep on at them.