Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017

• (b) in subsection (6), after ““section 122”” insert “ or 122A ”.

47

In section 128 (time limit for assessment of penalties under Chapter 2)—

• (a) in subsection (1), omit the words ““in respect of any amount””;

• (b) in subsection (4), for ““122(2)”” substitute “ 122(3) ”;

• (c) in subsection (5), omit the words ““the later of the following periods””.

48

In section 130 (amount of penalty for inaccuracy in document given to WRA)—

• (a) in subsection (1), after ““for a deliberate inaccuracy is”” insert “ an amount not exceeding ”, and

• (b) in subsection (2), after ““for a careless inaccuracy is”” insert “ an amount not exceeding ”.

49

In section 132 (penalty for deliberate inaccuracy in document given to WRA by another person), in subsection (4), after ““under this section is”” insert “ an amount not exceeding ”.

50

In section 133 (penalty for failure to notify under-assessment or under-determination), in subsection (3), after ““under this section is”” insert “ an amount not exceeding ”.

51

In section 141 (assessment of penalties under Chapter 3), in subsection (5), omit the words ““the later of the following periods””.

52

In the Welsh text, in section 142 (interpretation of Chapter 3), in paragraph (c), for ““ymwared”” substitute “ ryddhad ” (in both places it appears).

53

In section 143 (penalty for failure to keep and preserve records), in subsection (1), after ““38”” insert “ , 38A ”.

54

In section 144 (reasonable excuse for failure to keep and preserve records), in subsection (1), after ““38”” insert “ , 38A ”.

55

In section 145 (assessment of penalties under section 143), in subsection (2), after ““38”” insert “ , 38A ”.

56

After section 154 (payment of penalties) insert—

(154A) (1) If a person liable to a penalty (““P””) has died, any penalty that could have been assessed on P may be assessed on the personal representatives of P. (2) Any penalty assessed accordingly is to be paid out of P's estate.

57

Omit the italic cross-heading immediately preceding section 157.

58

For sections 157 and 158 substitute—

(157) (1) This section applies to an amount of devolved tax— (a) stated in a tax return as— (i) the tax chargeable, or (ii) if the tax return is a further return made by the buyer in a land transaction, the land transaction tax (or additional land transaction tax) payable; (b) payable— (i) as a result of an amendment to a tax return under section 41, 45 or 50; (ii) as a result of a correction to a tax return under section 42; (iii) in accordance with an assessment made in addition to a tax return under section 54 or 55, or (c) payable in accordance with— (i) a determination under section 52, or (ii) an assessment under section 54 or 55, made in place of a tax return which was required to be made. (2) If the amount is not paid before the late payment interest start date, the amount carries interest (referred to in this Part as “"late payment interest””) at the late payment interest rate for the period— (a) beginning with the late payment interest start date, and (b) ending with the date of payment. (3) The late payment interest start date is — (a) in the case of an amount falling within subsection (1)(a) or (b), the date after the filing date for the tax return; (b) in the case of an amount falling within subsection (1)(c) the date after the filing date for the tax return which was required to be made. (4) But where section 160 applies the late payment interest start date is the date specified in that section. (157A) (1) This section applies to an amount of penalty required to be paid under Part 5 of this Act. (2) If the amount is not paid on or before the date by which it is required to be paid, the amount carries interest (referred to in this Part as “"late payment interest””) at the late payment interest rate for the period— (a) beginning with the following day, and (b) ending with the date of payment. (3) But where section 160 applies, the late payment interest start date is the date specified in that section. (158) (1) This section applies for the purposes of sections 157 and 157A. (2) Late payment interest is not payable on late payment interest. (3) A late payment interest start date may be a non-business day within the meaning of section 92 of the Bills of Exchange Act 1882 (c. 61). (4) The date of payment, in relation to an amount, includes the date on which the amount is set off against an amount payable by WRA. (5) “"Late payment interest rate”” has the meaning given by section 163(1).

59

Omit section 159 (late payment interest start date: amendments to assessments etc.) and the italic cross-heading immediately preceding that section.

60

In section 169 (proceedings in magistrates' court), after subsection (5) insert—

(5A) Where a relevant amount includes an amount of land transaction tax in respect of which WRA has agreed to defer payment, any deferral period in respect of that amount (as determined under Chapter 3 of Part 6 of LTTA) must be ignored in calculating the period of 12 months referred to in subsection (4) or (5). (5B) Where a relevant amount includes an amount treated as a postponed amount by virtue of section 181G, any postponement period in respect of that amount (as determined under that section) must be ignored in calculating the period of 12 months referred to in subsection (4) or (5).

61

In section 170(1) (enforcement by taking control of goods), for ““the Tribunals, Courts and Enforcement Act 2007 (c. 15)”” substitute “ TCEA ”.

62

In section 172(2) (list of appealable decisions), after paragraph (e) insert—

(f) a decision to issue a notice under paragraph 14 of Schedule 16 to LTTA (recovery of group relief: notice requiring payment by another group company or controlling director); (g) a decision to issue a notice under paragraph 9 of Schedule 17 to that Act (recovery of reconstruction or acquisition relief: notice requiring payment by another group company or controlling director).

63

After section 181 insert—

(181A) The fact that a person to whom an appealable decision applies has— (a) requested a review of the decision, or (b) appealed against it, does not affect any requirement on the person to pay an amount of devolved tax (and interest on that amount). (181B) (1) This section applies where a person— (a) gives a notice of request to review an appealable decision, or (b) makes an appeal against such a decision. (2) If the person thinks that an excessive amount of devolved tax has been charged on the person in consequence of the decision, the person may make a request to WRA to postpone the recovery of the amount of devolved tax that the person thinks is excessive (and interest on that amount) (a ““postponement request””). (3) A postponement request must specify— (a) the amount of devolved tax in respect of which the request is made, and (b) the reasons why the person making the request thinks the amount is excessive. (4) If WRA thinks that the person making the postponement request has reasonable grounds for thinking that the amount of devolved tax to which the request relates is excessive, WRA may grant the postponement request. (5) If WRA thinks that it is only in respect of part of the amount that the person has reasonable grounds for thinking the amount is excessive it may grant the request in respect of that part only. (6) WRA may make the grant of the postponement request (in whole or in part) conditional on the provision of adequate security. (7) WRA must issue a notice of its decision to the person who made the postponement request. (181C) (1) A postponement request connected to a review must be made by giving notice of the request to WRA before the end of the period specified in section 174 for requesting the review. (2) But if a late request for a review is made under section 175, the postponement request must be made at the same time as the late request. (3) A postponement request connected to an appeal must be made by giving notice to WRA before the end of the period specified in section 179 for making the appeal. (4) But if the tribunal gives permission under section 180 for a late appeal to be made, the postponement request must be made at the same time as permission is sought for the late appeal. (5) Subsections (1) and (3) are subject to section 181D. (181D) (1) Where a person— (a) requests a review before the end of the period specified in section 174, and (b) makes a postponement request connected to the review after the end of that period, WRA may consider the postponement request only if it is satisfied that the conditions in subsection (3) are met. (2) Where a person— (a) makes an appeal before the end of the period specified in section 179, and (b) makes a postponement request connected to the appeal after the end of that period, WRA may consider the postponement request only if it is satisfied that the conditions in subsection (3) are met. (3) The conditions are that the person making the postponement request — (a) had a reasonable excuse for not making the request during the period specified in section 174 or 179, as the case may be, and (b) subsequently made the request without unreasonable delay. (181E) (1) A person who makes a postponement request may, within the period of 30 days beginning with the date WRA issues the notice of its decision on the request, apply to the tribunal for a review of WRA's decision. (2) The tribunal may determine that WRA's decision is to be— (a) affirmed, (b) cancelled, or (c) replaced by another decision that WRA could have made. (181F) (1) This section applies where— (a) a postponement request has been granted by WRA or the tribunal, (b) there is a subsequent change in circumstances, and (c) in consequence of that change, either WRA or the person who made the request thinks— (i) that the amount of devolved tax in respect of which the request was granted should be varied; (ii) where the grant of the request is conditional on the provision of adequate security, that the condition should be varied. (2) Either party may seek the agreement of the other by issuing a notice to the other party specifying the proposed variation. (3) If an agreement is reached, WRA must issue a notice to the person confirming the variation. (4) The variation has effect from the date WRA issues the notice under subsection (3). (5) If no agreement is reached within the period of 21 days beginning with the date the notice is issued under subsection (2), either party may apply to the tribunal for a determination. (6) The tribunal may determine such an application by— (a) confirming the proposed variation, (b) refusing the proposed variation, or (c) making such other variation as the tribunal thinks appropriate. (181G) (1) WRA must not take any action to recover a postponed amount during the postponement period. (2) A postponed amount means— (a) an amount of devolved tax specified in a postponement request (unless the request is a late request made in accordance with section 181C(2) or (4) or section 181D), or (b) an amount of devolved tax in respect of which a postponement request is granted by WRA or the tribunal. (3) In the case of a postponed amount falling within subsection (2)(a), the postponement period for the amount— (a) begins with the day on which the postponement request is made, and (b) ends— (i) if the request is granted, with the day on which it is granted, (ii) if the request is not granted and no application is made to the tribunal for a review of that decision, with the first day after the end of the period for making such an application, or (iii) if the request is not granted and an application is made to the tribunal for a review of that decision, with the day on which the tribunal makes its determination. (4) In the case of a postponed amount falling within subsection (2)(b) the postponement period for the amount— (a) begins with the date on which the postponement request is granted by WRA or the tribunal, and (b) ends— (i) if the postponement request was made in connection with a review of an appealable decision, with the day on which WRA issues a notice of the conclusions of the review, or (ii) if the postponement request was made in connection with an appeal against an appealable decision, with the day on which the tribunal determines the appeal. (5) Where a postponed amount falling within subsection (2)(b) is varied under section 181F, the varied amount is to be treated as the postponed amount from the date of the variation. (6) In this section, references to a postponement request being granted include cases where the request is granted in part. (181H) (1) Where a person makes (in accordance with TCEA) a further appeal against the tribunal's determination of an appeal against an appealable decision, sections 181B, 181C, 181E, 181F and 181G apply to the further appeal as they apply to an appeal, but as if the following modifications were made. (2) Section 181B has effect as if for subsections (3), (4) and (5), there were substituted— (3) A postponement request must specify— (a) the amount of devolved tax in respect of which the request is made, (b) the reasons why the person making the request thinks the amount is excessive, and (c) the reasons why the person thinks that recovery of the amount (and interest on the amount) would cause the person serious financial hardship. (4) If WRA— (a) thinks that the person making the postponement request has reasonable grounds for thinking that the amount of devolved tax to which the request relates is excessive, and (b) has reason to believe that recovery of the amount (and interest on the amount) would cause the person serious financial hardship, WRA may grant the request. (5) But if WRA— (a) thinks that it is only in respect of part of the amount that the person has reasonable grounds for thinking that the amount is excessive, or (b) has reason to believe that it is only in respect of part of the amount (and interest on that part) that recovery would cause the person serious financial hardship, WRA may grant the request in respect of such part of the amount as it thinks appropriate. (3) Section 181C has effect as if— (a) in subsection (3), for ““before the end of the period specified in section 179 for making the appeal”” there were substituted “ on or before the day on which the further appeal is made ”, and (b) subsection (4) were omitted. (4) Section 181F has effect as if, in subsection (1), for paragraph (a) there were substituted— (a) a postponement request has been granted by— (i) the Upper Tribunal where the request relates to a further appeal made under section 11 of TCEA, or (ii) the relevant appellate court specified under subsection (11) of section 13 of TCEA where the request relates to a further appeal made under that section, (5) Section 181G has effect as if— (a) in subsection (2)(a) the words ““(unless the request is a late request made in accordance with section 181C(2) or (4) or section 181D)”” were omitted, and (b) for subsection (4)(b) there were substituted— (b) ends on the day on which the further appeal is determined. (6) The references in sections 181E(1) and (2), 181F(5) and (6) and 181G(2), (3) and (4) to ““the tribunal”” are to be read as references to— (a) the Upper Tribunal in a case where the further appeal is made under section 11 of TCEA, or (b) the relevant appellate court specified under subsection (11) of section 13 of TCEA in a case where the further appeal is made under that section. (181I) (1) In section 11(5) of TCEA (decisions excluded from right of appeal to Upper Tribunal ), after paragraph (cb) (as inserted by section 116(1) of this Act) insert— (cc) any decision of the First-tier Tribunal under section 181E or 181F of that Act (appeals relating to postponement requests), (2) In section 13(8) of TCEA (decisions excluded from right of appeal to Court of Appeal etc.), after paragraph (bb) (as inserted by section 116(2) of this Act) insert— (bc) any decision of the Upper Tribunal under section 181E or 181F of that Act (appeals relating to postponement requests),

64

In section 182 (payment of penalties in the event of a review or appeal), in subsection (3) after ““176(5)”” insert “ , (6) ”.

65

After section 183 insert—

(183A) (1) This section applies where— (a) on an appeal against an appealable decision, the tribunal determines that an amount of devolved tax paid by a person is to be repaid by WRA, and (b) WRA applies under section 11(4) or 13(4) of TCEA for permission to make a further appeal. (2) When applying for permission WRA may request the tribunal's permission to postpone repayment of the amount until— (a) the further appeal is determined, or (b) WRA obtains adequate security for the amount. (3) The relevant tribunal or court must grant WRA's request if it— (a) gives permission for the further appeal to proceed, and (b) thinks that granting the request is necessary to protect the revenue. (4) If permission to make a further appeal is not given— (a) by the First-tier Tribunal on an application under section 11(4)(a) of TCEA, or (b) by the Upper Tribunal on an application under section 13(4)(a) of that Act, the fact that WRA made a request under subsection (2) when making the application for permission does not prevent WRA from making another request under that subsection if WRA applies for permission to make a further appeal under section 11(4)(b) or 13(4)(b) of TCEA. (5) But otherwise, the decision of the relevant tribunal or court on a request under subsection (2) is final. (6) In this section— - “"relevant tribunal or court”” (“"tribiwnlys neu lys berthnasol”") means whichever of the following WRA applies to for permission to make a further appeal— 1. the First-tier Tribunal; 2. the Upper Tribunal; 3. the relevant appellate court; - “"relevant appellate court”” (“"llys apeliadol perthnasol”") means the court specified as such under section 13(11) of TCEA.

66

Before section 188 (power to make consequential provision etc.) insert—

(187A) (1) In so far as the following provisions of this Act apply to land transaction tax, they bind the Crown— (a) Part 3; (b) Part 4 (other than Chapter 6); (c) Part 6 (other than sections 157A, 160 and 161(2)(b)); (d) Part 7 (other than sections 168, 169 and 170); (e) Part 8 (other than sections 172(1)(d) and (e), (3)(b) and (c), (4), (5) and (6), 182 and 183); (f) sections 190 and 191. (2) But Part 4 does not apply to Her Majesty in Her private capacity (within the meaning of section 38(3) of the Crown Proceedings Act 1947 (c. 44)).

67

In section 189 (regulations), in subsection (2), after ““18(2)”” insert “ 122(5), ”.

68

In section 190 (issue of notices by WRA)—

• (a) in subsection (1), for ““this Act, or of regulations made under it,”” substitute “ the Welsh Tax Acts, or of regulations made under them, ”;

• (b) after subsection (1) insert—

(1A) A notice must specify the day on which it is issued. (1B) If the person to whom the notice is issued cannot reasonably ascertain the effect of the notice because of a mistake in it or omission from it (including a mistake or omission relating to the person's name), the notice is to be treated as not having been issued.

69

In section 191 (giving notices and other documents to WRA)—

• (a) in subsection (1)—

• (i) for ““this Act, or of regulations made under it”” substitute “ the Welsh Tax Acts, or of regulations made under them, ”;

• (ii) after ““person”” insert “ to make a tax return or ”;

• (b) for subsection (2) substitute—

(2) The tax return, notice or other document must— (a) be in such form, (b) contain such information, (c) be accompanied by such other documents, and (d) be given in such manner, as may be specified by WRA.

;

• (c) in subsection (3), for ““this Act”” substitute “ the Welsh Tax Acts ”.

70

In section 192(2) (interpretation), in the appropriate places, insert—

“"buyer”” (“"prynwr**”") has the same meaning as in LTTA;

“"land transaction”” (“"trafodiad tir**”") has the same meaning as in LTTA;

“"LTTA”” (“"DTTT**”") means the Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 (anaw 0);

“"TCEA”” (“"DTLlG**”") means the Tribunals, Courts and Enforcement Act 2007 (c. 15);

“"the Welsh Tax Acts”” (“"Deddfau Trethi Cymru**”") means— (a) this Act, and (b) LTTA.

71

In section 193 (index of defined expressions), in Table 1, at the appropriate places insert the defined expressions in the following table.

Overview of Act

Land transaction

Procedure for regulations specifying tax bands and tax rates

Leases

Unit trust schemes

Notifiable transactions

General anti-avoidance rule

Meaning of major interest in land

The Schedules to this Act are arranged as follows—

Overview

Application of this Schedule

Meaning of ““pre-completion transaction””

Other key terms

Tax not charged on transferee by reason of the pre-completion transaction

Pre-completion transactions which are assignments of rights

Assignments of rights: application of rules about completion and consideration

Assignment of rights: transferor treated as making separate acquisition

Notional land transactions: effect of rescission etc. following substantial performance

Assignment of rights relating to part only of original contract

Assignment of rights: references to ““the seller””

Pre-completion transactions which are free-standing transfers

Free-standing transfers: consideration and substantial performance

References to ““the seller”” in cases involving free-standing transfers

The minimum consideration rule

The first minimum amount

The second minimum amount

Relief for transferor: assignment of rights

Relief for original buyer: qualifying subsales

Interpretation

Index of expressions defined in this Schedule

No chargeable consideration

Acquisitions by the Crown

Transactions in connection with divorce etc.

Transactions in connection with dissolution of civil partnership etc.

Assents and appropriations by personal representatives

Variation of testamentary dispositions etc.

Power to add, remove or vary exemptions

Money or money's worth

Value added tax

Postponed consideration

Just and reasonable apportionment

Exchanges

Partition etc.: disregard of existing interest

Valuation of non-monetary consideration

Debt as consideration

Cases where conditions for exemption not fully met

Conversion of amounts in foreign currency

Carrying out of works

Provision of services

Land transaction entered into by reason of employment

Indemnity given by buyer

Buyer bearing inheritance tax liability

Buyer bearing capital gains tax liability

Costs of enfranchisement

Arrangements involving public or educational bodies

Overview

Introductory

Higher rates residential property transactions

Buyer has a major interest in other dwelling

Two or more buyers

Interest in same main residence exception

Replacement of main residence exception

Replacement of main residence: transactions during interim period

Introductory

Higher rates residential property transaction

Two or more buyers

Two or more qualifying dwellings

Subsidiary dwelling exception

Buyer has a major interest in other dwelling

Interest in same main residence exception

Replacement of main residence exception

Replacement of main residence: transactions during interim period

Introductory

Transaction involving a dwelling

Transaction involving multiple dwellings

Two or more buyers

Further provision in connection with replacement of main residence exception

Further provision in connection with transactions being treated as higher rates residential property transactions

Spouses and civil partners purchasing alone

Property adjustment on divorce, dissolution of civil partnership etc.

Settlements and bare trusts

Partnerships

Alternative finance arrangements

Major interests in dwellings inherited jointly

Dwellings outside Wales

What counts as a dwelling

Major interest not to include certain leases

Overview

Lease for a fixed term

Leases that continue after a fixed term

Leases that continue after a fixed term: grant of a new lease

Leases for an indefinite term

Successive linked leases

Rent for overlap period in case of grant of further lease

Tenant holding over: new lease backdated to previous year

Rent

Variable or uncertain rent

First rent review in final quarter of fifth year

Adjustment of tax where rent determined on reconsideration date

Underpayment of tax where rent determined on reconsideration date

Overpayment of tax where rent determined on reconsideration date

Reverse premiums

Tenants' obligations etc. that do not count as chargeable consideration

Surrender of existing lease in return for new lease

Assignment of lease: assumption of obligations by assignee

Loan or deposit in connection with grant or assignment of lease

Agreement for lease

Assignment of agreement for lease

Cases where assignment of lease treated as grant of lease

Assignment of lease

Reduction of rent or term or other variation of lease

Increase of rent treated as grant of new lease: variation of lease in first 5 years

Residential leases, non-residential leases and mixed leases

No tax chargeable in respect of rent: residential leases

Tax rates and bands: rent element of non-residential and mixed leases

Calculation of tax chargeable in respect of rent: non-residential and mixed leases

Calculation of tax chargeable in respect of rent: linked transactions

Net present value

Temporal discount rate

Tax chargeable in respect of consideration other than rent: general

Tax chargeable in respect of consideration other than rent: no zero rate band for non-residential leases

Tax chargeable in respect of consideration other than rent: mixed leases

Relevant rent

Power to amend or repeal paragraphs 34 to 36

Overview

Partnerships

Chargeable interests treated as held by partners etc.

Acquisition of interest in partnership not chargeable except as specially provided

Continuity of partnerships

Partnership not to be regarded as a unit trust scheme etc.

Introduction

Responsibility of partners

Representative partners

Joint and several liability of responsible partners

Introduction

Transfer of chargeable interest to a partnership: general

Transfer of chargeable interest to a partnership: sum of the lower proportions

Relevant owner

Corresponding partner

Proportion of chargeable interest attributable to corresponding partner

Transfer of partnership interest pursuant to tax avoidance arrangements

Withdrawal of money etc. from partnership after transfer of chargeable interest

Introduction

Transfer of chargeable interest from a partnership: general

Transfer of chargeable interest from a partnership: sum of the lower proportions

Relevant owner

Corresponding partner

Proportion of chargeable interest attributable to corresponding partner

Partnership share attributable to corresponding partner: effective date of transfer before 20 October 2003

Partnership share attributable to corresponding partner: effective date of transfer on or after 20 October 2003

Introduction

Transfer of chargeable interest from a partnership to a partnership

Transfer of chargeable interest from a partnership consisting wholly of bodies corporate

Transfer of chargeable interest to or from a partnership: chargeable consideration including rent

Introduction

Meaning of property investment partnerships

Transfer of interest in property-investment partnership

Exclusion of market rent leases

Election by property-investment partnership to disapply paragraph 13

Partnership interests: application of provisions about exchange

Introduction

Application of exemptions and reliefs

Application of group relief

Sum of the lower portions: connected company

Application of charities relief

Modifications of TCMA in relation to partnerships

Notification of transfer of partnership interest

Partnership property and partnership share

Transfer of a chargeable interest

Transfer of chargeable interest to a partnership

Transfer of interest in a partnership

Transfer of a chargeable interest from a partnership

Market value of leases

Connected persons

Arrangements

Overview

Key terms

Bare trusts

Acquisition by trustees of settlement

Consideration for exercise of power of appointment or discretion

Reallocation of trust property as between beneficiaries

Responsibility of trustees of settlement

Relevant trustees for purposes of return etc.

Relevant trustees: enquiries and assessments

Relevant trustees: appeals and reviews

Interests of beneficiaries under certain trusts

The relief

Sale and leaseback arrangements

Qualifying conditions

Overview

Land sold to financial institution and leased to a person

Land sold to financial institution and re-sold to a person

References to P where P is an individual who has died

No relief where group relief, acquisition relief or reconstruction relief available on first transaction

Land sold to financial institution and leased to a person: arrangements to transfer control of institution

Interest held by financial institution an exempt interest

Meaning of ““financial institution””

Meaning of ““arrangements””

Overview

Interpretation

Bond-holder not to be treated as having an interest in the bond assets

Bond-holder treated as having an interest if control of underlying asset acquired

Introduction

Condition 1

Condition 2

Condition 3

Condition 4

Condition 5

Condition 6

Condition 7

Relief for the first transaction

Withdrawal of relief for the first transaction

Relief for the second transaction

Discharge of charge when conditions for relief met

Relief not available where bond-holder acquires control of underlying asset

Replacement of asset

WRA to notify Registrar of discharge of charge

The relief

Condition A

Condition B

Condition C

Interpretation

Overview

Transactions to which this Schedule applies

Key terms

The amount of tax chargeable

Determining the tax related to the consideration attributable to dwellings

Determining the tax related to the remaining consideration

Certain buildings not yet constructed or adapted to count as a dwelling

Overview

Acquisition by housebuilder from individual acquiring new dwelling

Acquisition by property trader from individual acquiring new dwelling

Acquisition by property trader from individual where chain of transactions breaks down

Relief for acquisition by property trader from personal representatives

Acquisition by property trader in case of relocation of employment

Acquisition by employer in case of relocation of employment

Withdrawal of reliefs available to property traders

Interpretation

Relief for transactions entered into by persons exercising collective rights

Overview

Relief for public sector discount transactions

Shared ownership lease: election for market value treatment

Shared ownership lease: transfer of reversion where election made for market value treatment

Shared ownership lease: election for market value treatment of premium where staircasing allowed

Shared ownership lease: staircasing transactions

Shared ownership lease: grant not linked with staircasing transactions etc.

Rent to shared ownership lease: charge to tax

Shared ownership leases: interpretation

Shared ownership trusts: meaning of shared ownership trust and other key terms

Shared ownership trust: the buyer

Shared ownership trust: election for market value treatment

Shared ownership trust transfer upon termination

Shared ownership trust: staircasing transactions

Shared ownership trust: treatment of additional payments where no election made

Shared ownership trust: declaration not linked with staircasing etc.

Rent to shared ownership trust: charge to tax

Rent to mortgage: chargeable consideration

Relief for certain acquisitions by registered social landlords

Overview

Group relief

Group relief: interpretation

Restrictions on availability of group relief

Certain arrangements not within paragraph 4: joint venture companies

Certain mortgage arrangements not within paragraph 4

Interpretation: relieved transaction

Withdrawal of group relief

Cases in which group relief not withdrawn

Group relief not withdrawn where seller leaves group

Group relief not withdrawn as a result of certain transfers of business etc. by mutual societies

Withdrawal of group relief in certain cases involving successive transactions

Recovery of group relief from another group company or controlling director

Recovery of group relief: supplementary

Overview

Reconstruction relief

Acquisition relief

Interpretation

Withdrawal of reconstruction or acquisition relief

Cases in which reconstruction or acquisition relief not withdrawn

Withdrawal of reconstruction or acquisition relief on subsequent non-exempt transfer

Recovery of reconstruction or acquisition relief from another group company or controlling director

Recovery of reconstruction or acquisition relief: supplementary

Overview

Key terms

The relief

Withdrawal of charities relief

Charity not a qualifying charity

Joint purchase by qualifying charity and another person: partial relief

Withdrawal of partial relief

Partial relief: charity not a qualifying charity

Application of this Schedule to certain trusts

Relief from land transaction tax: conversion of an authorised unit trust to an open-ended investment company

Relief from land transaction tax: amalgamation of an authorised unit trust with an open-ended investment company

Interpretation

Relief for certain acquisitions involving public bodies

Relief for acquisitions by certain health service bodies

Relief for compulsory purchase facilitating development

Relief for compliance with planning obligations

Lighthouses reliefs

Visiting forces and international military headquarters reliefs

Relief for property accepted in satisfaction of tax

Trunk roads relief

Relief for acquisitions by bodies established for national purposes

Relief for acquisitions in consequence of reorganisation of parliamentary constituencies

Building societies relief

Friendly societies relief

Co-operative and community benefit society and credit union relief

Editorial notes

[^key-e3ad0ded398f56bfd26f6c14ee5d4b5f]: Sch. 23 para. 8 in force at 18.10.2017 by S.I. 2017/953, art. 2(j)

[^key-a6a43425bfd3b17d1c7c1c5cb7dd0216]: S. 9(6) in force at 18.10.2017 by S.I. 2017/953, art. 2(a)

[^key-c05628404d22e786f726f3717ce580cd]: S. 24(1)(11) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(b)

[^key-57c5e708d900cbd535987f2dfe53b0ad]: S. 25 in force at 18.10.2017 by S.I. 2017/953, art. 2(c)

[^key-4063d82324180ae68b1de9f41d5c7f44]: S. 30(1) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(d)

[^key-4535d399e0438007a9f3cd189f7c3003]: S. 32(2) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(f)

[^key-856a582f6af324d4c98e0070ca1acd5a]: S. 65(5)(6)(7)(b) in force at 18.10.2017 by S.I. 2017/953, art. 2(h)

[^key-5357f3c8deef3bc261fcc114b233406c]: S. 76 in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(i)

[^key-dfd01c2a5189deabe91222eb734da594]: Sch. 6 para. 28 in force at 18.10.2017 by S.I. 2017/953, art. 2(g)(i)

[^key-92829240296b23dc3939993c71e3d89a]: Sch. 6 para. 36(1)(b) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(g)(ii)

[^key-27a8d197a8ac630a9ac2e04e7c841c5b]: Sch. 11 para. 2 in force at 18.10.2017 by S.I. 2017/953, art. 2(e)(i)

[^key-8dc4fb5526b65c75367b697051cb582e]: Sch. 11 para. 9(1) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(e)(ii)

[^key-ee7e90c0de998935924c713138b8d516]: Sch. 11 para. 16 in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(e)(iii)

[^key-be85bee0cf3152bd6ca52a30d0861f06]: Sch. 11 para. 18(4)(a)(5) in force at 18.10.2017 for specified purposes by S.I. 2017/953, art. 2(e)(iv)

[^key-74b1ec3fc762a580e2c6a647a60aa872]: S. 76 in force at 25.1.2018 for specified purposes by S.I. 2018/34, art. 2(a)

[^key-f2fd3a7b99cf6986f6e180b79d9e24f7]: Sch. 23 para. 35 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(i)

[^key-ed71cc061eed15d1efbfc0b7e41c0b5e]: Sch. 23 para. 36 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(i)

[^key-00662330bb75c96c5db29d4ac483ceda]: Sch. 23 para. 37 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(i)

[^key-a0c607a4bf353c52909d10bffe92cb3a]: Sch. 23 para. 38 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(i)

[^key-30bee32202effa792a4891c5c2a03256]: Sch. 23 para. 56 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(ii)

[^key-37a2a3cd25ecc9def918c23bad1ee5bb]: Sch. 23 para. 57 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(ii)

[^key-b493c4a1217f205e931c173dca2e91fe]: Sch. 23 para. 58 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(ii)

[^key-5665b4221b808b6dacc5e822cc7fd569]: Sch. 23 para. 59 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(ii)

[^key-af7529999b3b05573bd5fb2b9d6b6247]: Sch. 23 para. 61 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(iii)

[^key-7672faa5a5427cc9e9b66d53a62d24a3]: Sch. 23 para. 64 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(iv)

[^key-9b56c51bb7372b24a742b9ee6a5b5953]: Sch. 23 para. 68 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(v)

[^key-4d5d4666d29d056d003cd8fc6d6b96af]: Sch. 23 para. 69 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(v)

[^key-90c8594625547a335db05e8e3eb47a41]: Sch. 23 para. 70 in force at 25.1.2018 by S.I. 2018/34, art. 2(b)(v)

[^key-2a92616ae874d40d0bc3f175a0d28f3d]: S. 10 applied (with modifications) (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 3

[^key-7d30c36024f5bd874fa0d61c41060e8f]: S. 10 applied (with modifications) (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 4

[^key-ca6d4a53e6b0ecf274e2ca90fa26d9f0]: Sch. 5 applied (with modifications) (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 12

[^key-944da4b59c34103b6431624b364f3bfa]: Sch. 6 para. 7 applied in part (with modifications) (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 9

[^key-5fec593efdb45a9b0a952bd01e570ef1]: Sch. 6 para. 8 applied in part (with modifications) by S.I. 2018/126, reg. 9A (as inserted (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) (Amendment) Regulations 2018 (S.I. 2018/401), regs. 1(2), 2)

[^key-a09b80f7ff788351932cf0eea08e262d]: Sch. 6 para. 22 applied in part (with modifications) (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 10

[^key-40820d4552fe775c3350ab83c77d99f9]: Sch. 6 para. 25 modified (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 11

[^key-b4b0af55cf1bfbcacc6dae6c6da56d36]: Sch. 7 para. 18 modified (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 7

[^key-956244c30affaab55032619477ec84bb]: Sch. 7 para. 19 modified (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 8

[^key-b310958b6e54b1bbb80bc5dfc7353a7a]: Sch. 10 para. 2 restricted (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 5

[^key-d33fda2dc91438bb74f07dbf98c1098a]: Sch. 11 para. 15 restricted (1.4.2018) by The Land Transaction Tax (Transitional Provisions) (Wales) Regulations 2018 (S.I. 2018/126), regs. 1(2), 6

[^key-03e85bc0e53db384e6aadaa218036dba]: S. 24(1)(11) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-f16da744186c5927d7afedc99c8eef0f]: S. 30(1) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-5762497a6a02f4aae40ecd53eb2efd28]: S. 32(2) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-d5e8f633a1ef3af4e86b7a2ca1438d5d]: Sch. 6 para. 36(1)(b) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-a2704eeaa5f2f94bffbd188ea1651ca6]: Sch. 11 para. 9(1) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-434e158ad7e0a8388561a2890be1ed40]: Sch. 11 para. 18(4)(a)(5) in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-3d37da5769815e6e262fb7f86aaa3c69]: S. 32(1) in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-549c20fb9204387fb41aef4dea0987cf]: S. 65(1)-(4)(7)(a) in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-2ac5bc4005788dad566338966d99c192]: Sch. 6 para. 36(1)(a)(2) in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-d72b546f9b4d577495f6c996eb0aaa70]: Sch. 11 para. 9(2) in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-d3686dbc27e35604f2b274d7e7745259]: Sch. 11 para. 18(1)-(3)(4)(b)(6) in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-f1e7f3a0e868ecb93e44a9c244d91d35]: S. 34 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-ce10b1c19408bf1a2e204fcf54fb805b]: S. 48 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-860ca5a8be700c671ad61edcbdc3cc09]: S. 66 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-5b3b76af94b790a08ab760dad6ebf8a1]: S. 76 in force at 1.4.2018 in so far as not already in force by S.I. 2018/34, art. 3

[^key-cd21cf4d096c1b31bdcd2e340d8feb29]: S. 1 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-9978d5bc4b62a4adfee2a14d9a2db8ff]: S. 2 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-75c81a9afccbd5f566ccd8e5911057e6]: S. 3 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-8643dd8371bf8ec65011182c7b53b887]: S. 4 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-4ddeb5e1b4ba3f38db48fb8154387d23]: S. 5 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-ef99c933a882c893842b07be14bfc7ee]: S. 6 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-0ab06f3194526f05175e482b305a172a]: S. 7 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-768ab76ffa2a1aefe2611fdf1fa95196]: S. 8 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-03300a8a94ecf20af381f2f338eabe3c]: S. 10 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-a1964b11c78ee711c27601ba0c327dc9]: S. 11 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-899d97bac36f400439f06233626f785b]: S. 12 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-5bc36c2346455d71fe3e02a776b69c27]: S. 13 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-f08757797e34a9212cafebd586fe4f22]: S. 14 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e870087718e003b8317c62e946f9a6db]: S. 15 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-37a1467dd8c186b1b79511b24af6d8ef]: S. 16 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-3bba14569bc26ca95c03e9e9f98379fe]: S. 17 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-ed1e9e7d311317e95ba9187a317958f6]: S. 18 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-6ceb34a4af83efa9e5e6cc59f4e486a5]: S. 19 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-0244cb95d734ae07f00e235b9ab053c2]: S. 20 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-229b42b1219a506c40bb6f9fb694b152]: S. 21 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-661228545b63604c76e10641fb48150c]: S. 22 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-845fbbd14ce86fe8d2898e99a5344f29]: S. 23 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-a2683f50853b10e71289bcd3a3a1719c]: S. 26 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-838b68d6e84f207176cb7dbcdeb4f08b]: S. 27 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-66211005384efee8250da72727ef6eec]: S. 28 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-201d709793be4956bc7ea48eb6a56c5f]: S. 29 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-8e7f35756acd2056aa64a9ff92f1dbbc]: S. 31 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-5eefb1999acea2e5b92067404051a6d3]: S. 33 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-3cb74598db6c2904389b36130f2c0cee]: S. 35 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-406b517ebf2e435da51a80e1cc135968]: S. 36 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-51da0cfe4de5ee247b141e3fbcb474c5]: S. 37 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e21f8bedc7b7838049fbdbde5a8f6895]: S. 38 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-c6622aadd2e9a69935692e6e7be3f03b]: S. 39 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-f5db12890256fc42a1c8fce15544ea21]: S. 40 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-8f18134838f6c8667f931d5cd27c7226]: S. 41 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e1b699b2ee512c7751f228898a89eaf2]: S. 42 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-dfec420b49f70137164c0624eab5d014]: S. 43 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-afd2f3f7a4dcea3c9c33819ae2b0fc7e]: S. 44 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-89d69709bec6914c3e667ea6bec90670]: S. 45 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-1e9ee87e0d53ff0a68fcf59c99c4aac0]: S. 46 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-a03be8ad57dac9bdba96ebaddf8bd0fe]: S. 47 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e38aa6fe496a457f5df60436d6062a6e]: S. 49 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-d041d12b7485c61d92a640bb31fb4f18]: S. 50 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-67420d634693c9cce8ccd19f5601baaa]: S. 51 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-d3631f0cef03d861a40d8c0c44dc9f73]: S. 52 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-a31d5a59207ba844053409426369542c]: S. 53 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-6f8efb907d42e174535ed326906a014d]: S. 54 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e69a55dd030610e4438aad1ea9490315]: S. 55 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-cb000da2b1f789a70737e3e958da5a25]: S. 56 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e79bad721a307146fd89e536acae5792]: S. 57 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-07ea300d86462ff15b6fe165cad3324d]: S. 58 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-ddb7c728206130c9fb26221035304dce]: S. 59 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-28031bc1e09aa844f02f7e765363eb8e]: S. 60 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-24eba43305d75be74334c697556a0de7]: S. 61 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-a961e0569b20fc283dffc9a6d86550a9]: S. 62 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-1d331251d38934e224a314f15b52fc84]: S. 63 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-546b7a86fc79b654653d2f5643046794]: S. 64 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-3fc9668561ee1609f47dbfc53397fc94]: Sch. 1 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-e55d5fb95caea481abe8779fd79befdc]: Sch. 10 para. 6 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-7ffb84cbc1d3dc65819f1dccd7b41c41]: Sch. 16 para. 3 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-6ffe7180e9be1629c3565110a5826881]: Sch. 6 para. 14 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-4b351d419e28ca555f13364833005d1e]: Sch. 7 para. 43 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-049b1015bdf44d1eebe8a62c6053e4c7]: Sch. 23 para. 2 in force at 1.4.2018 by S.I. 2018/34, art. 3

[^key-2bfd8102b16004849326b26921cc0087]: Sch. 23 para. 3 in force at 1.4.2018 by S.I. 2018/34, art. 3