UKPGA-2003-14 Finance Act 2003 UK

For the Table of rates of duty in Schedule 1 to the Tobacco Products Duty Act 1979 (c. 7) substitute—

This section shall be deemed to have come into force at 6 o'clock in the evening of 9th April 2003.

In section 36(1AA)(a) of the Alcoholic Liquor Duties Act 1979 (c. 4) (rate of duty on beer), for “£11.89” substitute “ £12.22 ”.

This section shall be deemed to have come into force at midnight on 13th April 2003.

For Part 1 of the Table of rates of duty in Schedule 1 to the Alcoholic Liquor Duties Act 1979 (rates of duty on wine and made-wine) substitute—

This section shall be deemed to have come into force at midnight on 13th April 2003.

In section 6(1A) of the Hydrocarbon Oil Duties Act 1979 (c. 5) (rates of duty)—

In section 6AA(3) of that Act (biodiesel duty) for “£0.2582” substitute “ £0.2710 ”.

In section 13A(1) of that Act (rebate on unleaded petrol) for “£0.0586” substitute “ £0.0601 ”.

This section shall come into force on 1st October 2003.

In section 11(1) of the Hydrocarbon Oil Duties Act 1979 (rebate on heavy oil)—

In section 14(1) of that Act (furnace fuel) for “£0.0274” substitute “ £0.0382 ”.

This section shall be deemed to have come into force at 6 o'clock in the evening of 9th April 2003.

Part 1 of the Betting and Gaming Duties Act 1981 (c. 63) (betting duties) is amended as follows.

In section 5 (net stake receipts) at the end of subsection (3) (negative net stake receipts to be disregarded) insert “ except as provided for by section 5AA ”.

After that section insert—.

Omit section 5A (multiple bets) (which becomes unnecessary as a result of the amendment made by subsection (3) above).

After section 7 (duty charged on net pool betting receipts) insert—.

The amendments made by this section apply in relation to any accounting period beginning on or after 1st September 2003 for which the net stake receipts in respect of a particular class of bets, or (as the case may be) the net pool betting receipts, is a negative amount.

Part 1 of the Betting and Gaming Duties Act 1981 (c. 63) (betting duties) is amended as follows.

After section 5AA (inserted by section 6 above) insert—.

In section 5B (liability to pay)—

In section 5C (bet-brokers)—

The amendments made by this section apply in relation to any accounting period beginning on or after 1st June 2003.

Those amendments do not apply in relation to a bet (a “straddling bet”) that is—

Any winnings paid in respect of a straddling bet to which section 5AB of the Betting and Gaming Duties Act 1981 (c. 63) would apply but for subsection (6) above shall be treated for the purposes of that Act as paid in the broker’s accounting period in which the bet was made (“the earlier accounting period”).

Subsection (7) shall not have effect to reduce the general betting duty payable by the broker for the earlier accounting period; but the amount of the reduction that would (but for this subsection) have been made for that period shall be set against any liability of the broker to general betting duty for accounting periods in the following three years, taking earlier periods before later ones until the amount is exhausted.

In section 12(4) of the Betting and Gaming Duties Act 1981 (general betting duty: supplementary provisions), in the definition of “on-course bet” for “a meeting” substitute “ a horse or dog race meeting ”.

This section applies to bets made on or after 1st September 2003.

In section 21 of the Betting and Gaming Duties Act 1981 (amusement machine licences), for subsections (3B) to (3D) (meaning of “fifty-penny machine”) substitute—.

In section 25(1) of that Act (definition of “amusement machine”), in paragraph (c) for “coin or token” substitute “ coin, token or other thing ”.

In section 26(2) of that Act (interpretation), for the definitions of “two-penny machine”, “five-penny machine” and “ten-penny machine” substitute—.

In the following provisions of the Value Added Tax Act 1994 (c. 23)—for “coin or token” substitute “ coin, token or other thing ”.

In section 26 of the Betting and Gaming Duties Act 1981 (c. 63) (interpretation etc), omit the definition of “coin” in subsection (2).

After that section insert—.

This section does not apply in relation to any amusement machine licence granted before the day on which this Act is passed or to anything done under such a licence.

In section 24(5) of the Betting and Gaming Duties Act 1981 (c. 63) (penalty for unlicensed amusement machines), for paragraph (c) (liability of person responsible for, inter alia, issuing or exchanging coins etc for amusement machine) substitute—.

In Schedule 4A to that Act (unlicensed amusement machines), for paragraph (c) of paragraph 7(3) (which makes similar provision) substitute—.

For the Table in section 11(2) of the Finance Act 1997 (c. 16) (rates of gaming duty) substitute—

This section has effect in relation to accounting periods beginning on or after 1st April 2003.

In paragraph 1 of Schedule 1 to the Vehicle Excise and Registration Act 1994 (c. 22) (the general rate)—

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In paragraph 1J of that Schedule (rates of duty applicable to light goods vehicles first registered on or after 1st March 2001)—

This section applies to any licence taken out on or after 17th April 2003 for a period beginning on or after 1st May 2003.

After section 15 of the Vehicle Excise and Registration Act 1994 insert—.

Section 16 of that Act (which makes provision, in the case of tractive units, for exemptions from the charge to vehicle excise duty at a higher rate on a basis different from that set out in new section 15A) shall cease to have effect.

This section has effect in relation to the use of a tractive unit on or after 9th April 2003.

The Value Added Tax Act 1994 (c. 23) is amended as follows.

In section 24(6)(a) (regulations about input tax etc: requirement of documentary evidence) after “documents” insert “ or other information ”.

In paragraph 4 of Schedule 11 (power to require security and production of documents) for sub-paragraph (1) substitute—.

For sub-paragraph (2) of that paragraph substitute—.

In section 72(11) (penalty for supplying goods in contravention of paragraph 4(2) of Schedule 11) after “supplies” insert “ or is supplied with ”.

In section 83(l) (right of appeal against requirement of security under paragraph 4(2) of Schedule 11 etc) for “paragraph 4(2)” substitute “ paragraph 4(1A) or (2) ”.

In section 84 (further provisions relating to appeals) after subsection (4D) insert—.

This section shall be deemed to have come into force on 10th April 2003.

In Part 4 of the Value Added Tax Act 1994 (c. 23) (administration, collection and enforcement), after section 77 insert—.

In section 83 of that Act (appeals) after paragraph (r) insert—.

In section 84(3) of that Act (appeals not to be entertained unless the VAT has been paid or deposited, except where that would cause hardship) for “or (q)” substitute “ , (q) or (ra) ”.

This section shall be deemed to have come into force on 10th April 2003 except subsection (3) which applies in relation to any appeal notice of which is given on or after the day on which this Act is passed.

In section 96 of the Value Added Tax Act 1994 (c. 23) (interpretative provisions), after subsection (10A) (time for determining status of supplies arising from prior grant of interest etc) insert—.

This section applies in relation to any supply that arises for the purposes of the Value Added Tax Act 1994 (c. 23) from the prior grant of a fee simple made on or after 9th April 2003.

In Schedule 4 to the Value Added Tax Act 1994 (matters to be treated as supply of goods or services), paragraph 5 (business gifts etc) is amended as follows.

In sub-paragraph (2) (cases where sub-paragraph (1) does not apply), for paragraph (a) substitute—.

After that sub-paragraph insert—.

This section applies in relation to gifts made on or after 1st October 2003.

This Part makes provision for and in connection with the imposition of liability to a penalty where a person—

For the purposes of this Part “relevant tax or duty” means any of the following—

In this Part—

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Except for this subsection and section 41 (which accordingly come into force on the passing of this Act), this Part comes into force on such day as the Treasury may by order appoint.

In any case where—that person is liable to a penalty of an amount equal to the amount of the tax or duty evaded or, as the case may be, sought to be evaded.

Subsection (1) is subject to the following provisions of this Part.

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Any reference in this section to a person’s “evading” any relevant tax or duty includes a reference to his obtaining or securing, without his being entitled to it,—and also includes a reference to his evading the cancellation of any entitlement to, or the withdrawal of, any such repayment, rebate, drawback, relief, exemption or allowance.

In relation to any such evasion of any relevant tax or duty as is mentioned in subsection (4), the reference in subsection (1) to the amount of the tax or duty evaded or sought to be evaded is a reference to the amount of—as the case may be.

Where, by reason of conduct falling within subsection (1) in the case of any relevant tax or duty, a person—that conduct does not also give rise to liability to a penalty under this section in respect of that relevant tax or duty.

If, in the case of any relevant tax or duty, a person of a prescribed description engages in any conduct by which he contravenes—he is liable to a penalty under this section of a prescribed amount.

Subsection (1) is subject to the following provisions of this Part.

The power conferred by subsection (1) to prescribe a description of person includes power to prescribe any person (without further qualification) as such a description.

Different penalties may be prescribed under subsection (1) for different cases or different circumstances.

Any amount prescribed under subsection (1) as the amount of a penalty must not be more than £2,500.

Where the conduct constituting a contravention of a relevant rule is a contravention of a condition imposed under regulations under section 20(1A), 20B(2), 22(1A) or 25(1A) of the Customs and Excise Management Act 1979—

The Treasury may by order amend subsection (5) by substituting a different amount for the amount for the time being specified in that subsection.

A statutory instrument containing an order under subsection (6) may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, the House of Commons.

In this Part “relevant rule”, in relation to any relevant tax or duty, means any duty, obligation, requirement or condition imposed by or under any of the following—

In subsection (8)—

A person is not liable to a penalty under section 26 if he satisfies—that there is a reasonable excuse for his conduct.

For the purposes of subsection (1) none of the following is a reasonable excuse—

Where, by reason of conduct falling within subsection (1) of section 26 in the case of any relevant tax or duty, a person—that conduct does not also give rise to liability to a penalty under section 26 in respect of that relevant tax or duty.

A person is not liable to a penalty under section 26 in respect of any conduct, so far as relating to import VAT, if in respect of that conduct—

Where it appears to the Commissioners—the Commissioners may give a notice under this section to the body corporate (or its representative) and to the relevant officer (or his representative).

A notice under this section must state—

If a notice is given under this section, this Part shall apply in relation to the relevant officer as if he were personally liable under section 25 to a penalty which corresponds to that portion of the basic penalty specified in the notice.

If a notice is given under this section—

In this section “managing officer”, in relation to a body corporate, means—

Where the affairs of a body corporate are managed by its members, this section applies in relation to the conduct of a member in connection with his functions of management as if he were a director of the body corporate.

Where a person is liable to a penalty under section 25 or 26—

In exercising their powers under subsection (1), neither the Commissioners nor an appeal tribunal are entitled to take into account any of the matters specified in subsection (3).

Those matters are—

Where a person is liable to a penalty under this Part, the Commissioners may give to that person or his representative a notice in writing (a “demand notice”) demanding payment of the amount due by way of penalty.

An amount demanded as due from a person or his representative in accordance with subsection (1) is recoverable as if it were an amount due from the person or, as the case may be, the representative as an amount of customs duty. This subsection is subject to—

An amount so demanded is not recoverable if or to the extent that—

A demand notice may not be given—

A demand notice may not be given more than 2 years after there has come to the knowledge of the Commissioners evidence of facts sufficient in the opinion of the Commissioners to justify the giving of the demand notice.

A demand notice—

Where a demand notice is given demanding payment of an amount due by way of penalty under section 26 in respect of any conduct of a person, no proceedings may be brought against that person for any offence constituted by that conduct (whether or not the demand notice is subsequently withdrawn).

Nothing in subsection (1) prevents the bringing of proceedings against a person for an offence under section 20A(1A), 22A(1A) or 25A(1A) of the Customs and Excise Management Act 1979 in circumstances where it is alleged that the person is liable to a penalty of an enhanced amount.

If, in the case of any relevant tax or duty, HMRC give a person or his representative a notice informing him—the person or his representative may make an appeal to an appeal tribunal in respect of the decision mentioned in paragraph (a).

Where HMRC give a demand notice to a person or his representative, the person or his representative may make an appeal to an appeal tribunal in respect of —

Where HMRC give a notice under section 28 to a body corporate and to a relevant officer—

Where HMRC give a demand notice to the relevant officer or his representative for a penalty which corresponds to the portion of the basic penalty specified in the notice under section 28, the relevant officer or his representative may make an appeal to an appeal tribunal in respect of —

Where HMRC give a demand notice to the body corporate or its representative for so much of the basic penalty as is not recoverable from the relevant officer by virtue of section 28(3), the body corporate or its representative may make an appeal to an appeal tribunal in respect of —

The powers of an appeal tribunal on an appeal under this section include—

On an appeal under this section—

HMRC must offer a person (P) a review of a decision that has been notified to P if an appeal lies under section 33 in respect of the decision.

The offer of the review must be made by notice given to P at the same time as the decision is notified to P.

This section does not apply to the notification of the conclusions of a review.

HMRC must review a decision if—

But P may not notify acceptance of the offer if P has already appealed to the appeal tribunal under section 33F.

HMRC shall not review a decision if P has appealed to the appeal tribunal under section 33F in respect of the decision.

If under section 33A, HMRC have offered P a review of a decision, HMRC may within the relevant period notify P that the relevant period is extended.

If notice is given the relevant period is extended to the end of 30 days from—

In this section “relevant period” means—

This section applies if—

HMRC must review the decision under section 33B if—

HMRC shall not review a decision if P has appealed to the appeal tribunal under section 33F in respect of the decision.

This section applies if HMRC are required to undertake a review under section 33B or 33D.

The nature and extent of the review are to be such as appear appropriate to HMRC in the circumstances.

For the purpose of subsection (2), HMRC must, in particular, have regard to steps taken before the beginning of the review—

The review must take account of any representations made by P at a stage which gives HMRC a reasonable opportunity to consider them.

The review may conclude that the decision is to be—

HMRC must give P notice of the conclusions of the review and their reasoning within—

In subsection (6) “relevant date” means—

Where HMRC are required to undertake a review but do not give notice of the conclusions within the period specified in subsection (6), the review is to be treated as having concluded that the decision is upheld.

If subsection (8) applies, HMRC must notify P of the conclusions which the review is treated as having reached.

An appeal under section 33 is to be made to the appeal tribunal before—

But that is subject to subsections (3) to (5).

In a case where HMRC are required to undertake a review under section 33B—

In a case where HMRC are requested to undertake a review in accordance with section 33D—

In a case where section 33E(8) applies, an appeal may be made at any time from the end of the period specified in section 33E(6) to the date 30 days after the conclusion date.

An appeal may be made after the end of the period specified in subsection (1), (3)(b), (4)(b) or (5) if an appeal tribunal gives permission to do so.

In this section “conclusion date” means the date of the document notifying the conclusions of the review.

Statements made or documents produced by or on behalf of a person are not inadmissible in—by reason only that any of the matters specified in subsection (2) has been drawn to his attention and that he was, or may have been, induced by that matter having been brought to his attention to make the statements or produce the documents.

The matters mentioned in subsection (1) are—

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Any power conferred on the Treasury by this Part to make regulations or an order includes power—

Any power conferred on the Treasury by this Part to make regulations or an order shall be exercisable by statutory instrument.

Any statutory instrument containing regulations under this Part shall be subject to annulment in pursuance of a resolution of the House of Commons.

A tax (to be known as “stamp duty land tax”) shall be charged in accordance with this Part on land transactions.

The tax is chargeable—

The tax is under the care and management of the Commissioners of Inland Revenue (referred to in this Part as “the Board”).

In this Part a “land transaction” means any acquisition of a chargeable interest. As to the meaning of “chargeable interest” see section 48.

Except as otherwise provided, this Part applies however the acquisition is effected, whether by act of the parties, by order of a court or other authority, by or under any statutory provision or by operation of law.

For the purposes of this Part—

References in this Part to the “purchaser” and “vendor”, in relation to a land transaction, are to the person acquiring and the person disposing of the subject-matter of the transaction. These expressions apply even if there is no consideration given for the transaction.

A person is not treated as a purchaser unless he has given consideration for, or is a party to, the transaction.

References in this Part to the subject-matter of a land transaction are to the chargeable interest acquired (the “main subject-matter”), together with any interest or right appurtenant or pertaining to it that is acquired with it.

This section applies where a contract for a land transaction is entered into under which the transaction is to be completed by a conveyance.

A person is not regarded as entering into a land transaction by reason of entering into the contract, but the following provisions have effect.

If the transaction is completed without previously having been substantially performed, the contract and the transaction effected on completion are treated as parts of a single land transaction. In this case the effective date of the transaction is the date of completion.

If the contract is substantially performed without having been completed, the contract is treated as if it were itself the transaction provided for in the contract. In this case the effective date of the transaction is when the contract is substantially performed.

A contract is “substantially performed” when—

For the purposes of subsection (5)(a)—

For the purposes of subsection (5)(b) a substantial amount of the consideration is paid or provided—

Where subsection (4) applies and the contract is subsequently completed by a conveyance—

Where subsection (4) applies and the contract is (to any extent) afterwards rescinded or annulled, or is for any other reason not carried into effect, the tax paid by virtue of that subsection shall (to that extent) be repaid by the Inland Revenue. Repayment must be claimed by amendment of the land transaction return made in respect of the contract.

Where—it applies in place of subsections (4), (8) and (9).

In this section—

Section 1122 of the Corporation Tax Act 2010(connected persons) has effect for the purposes of this section.

This section applies where a contract is entered into under which a chargeable interest is to be conveyed by one party to the contract (A) at the direction or request of the other (B)—

B is not regarded as entering into a land transaction by reason of entering into the contract, but the following provisions have effect.

If the contract is substantially performed B is treated for the purposes of this Part as acquiring a chargeable interest, and accordingly as entering into a land transaction. The effective date of the transaction is when the contract is substantially performed.

Where the contract is (to any extent) afterwards rescinded or annulled, or is for any other reason not carried into effect, the tax paid by virtue of subsection (3) shall (to that extent) be repaid by the Inland Revenue. Repayment must be claimed by amendment of the land transaction return made in respect of the contract.

Subject to subsection (6), section 44 (contract and conveyance) does not apply (except so far as it defines “substantial performance”) in relation to the contract.

Where—section 44 applies to that obligation as it applies to a contract for a land transaction that is to be completed by a conveyance.

Section 44 applies in relation to any contract between B and C, in respect of the chargeable interest referred to in subsection (1) above, that is to be completed by a conveyance. References to completion in that section, as it so applies, include references to conveyance by A to C of the subject matter of the contract between B and C.

In this section “contract” includes any agreement and “conveyance” includes any instrument.

This section applies where—References in the following provisions of this section to a transfer of rights are to any such assignment or other transaction.

D is not regarded as entering into a land transaction by reason of the transfer of rights, but section 44A (contract providing for conveyance to third party) has effect in accordance with the following provisions of this section.

That section applies as if—

The substantial performance of the original contract shall be disregarded if—

Where there are successive transfers of rights, subsection (3) has effect in relation to each of them.

The substantial performance of the secondary contract arising from an earlier transfer of rights shall be disregarded if—

Where a transfer of rights relates to only part of the subject matter of the original contract, or to only some of the rights under that contract—

The effective date of a land transaction treated as entered into by virtue of subsection (3) is not earlier than the date of the transfer of rights.

In relation to a such a transaction—

Section 1122 of the Corporation Tax Act 2010(connected persons) applies for the purposes of subsection (3)(b).

In this section “contract” includes any agreement.

The acquisition of—They may be “linked transactions” (see section 108).

The reference in subsection (1)(a) to an option binding the grantor to enter into a land transaction includes an option requiring the grantor either to enter into a land transaction or to discharge his obligations under the option in some other way.

The effective date of the transaction in the case of the acquisition of an option or right such as is mentioned in subsection (1) is when the option or right is acquired (as opposed to when it becomes exercisable).

Nothing in this section applies to so much of an option or right of pre-emption as constitutes or forms part of a land transaction apart from this section.

Where a land transaction is entered into by the purchaser (alone or jointly) wholly or partly in consideration of another land transaction being entered into by him (alone or jointly) as vendor, this Part applies in relation to each transaction as if each were distinct and separate from the other (and they are not linked transactions within the meaning of section 108).

A transaction is treated for the purposes of this Part as entered into by the purchaser wholly or partly in consideration of another land transaction being entered into by him as vendor in any case where an obligation to give consideration for a land transaction that a person enters into as purchaser is met wholly or partly by way of that person entering into another transaction as vendor.

As to the amount of the chargeable consideration in the case of exchanges and similar transactions, see—

In this Part “chargeable interest” means—other than an exempt interest.

See section 48A regarding land which is partly in England and partly in Wales.

The following are exempt interests—

In subsection (2)—

Section 73B makes additional provision about exempt interests in relation to alternative finance arrangements.

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The Treasury may by regulations provide that any other description of interest or right in relation to land in England... or Northern Ireland is an exempt interest.

The regulations may contain such supplementary, incidental and transitional provision as appears to the Treasury to be appropriate.

This section has effect subject to subsection (3) of section 44A (contract and conveyance to third party) and to paragraph 15A of Schedule 17A (reduction of rent or term of lease).

This section sets out how this Part applies to a transaction which is the acquisition of—where the land is partly in England and partly in Wales.

The transaction is to be treated as if it were two transactions, one relating to the land in England (“the English transaction”) and the other relating to the land in Wales.

The consideration for the transaction is to be apportioned between those two transactions on a just and reasonable basis.

Accordingly, the English transaction is to be treated as a land transaction within the meaning of this Part (being the acquisition of a chargeable interest relating to the land in England).

But subsection (4) does not apply in the case of an exempt interest.

See section 9 of the Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 (anaw 0) as to the application of that Act to the transaction relating to the land in Wales.

A land transaction is a chargeable transaction if it is not a transaction that is exempt from charge.

Schedule 3 provides for certain transactions to be exempt from charge. Other transactions are exempt from charge under other provisions of this Part.

Schedule 4 makes provision as to the chargeable consideration for a transaction.

The Treasury may by regulations amend or repeal the provisions of this Part relating to chargeable consideration and make such other provision as appears to them appropriate with respect to—

The regulations may make different provision in relation to different descriptions of transaction or consideration and different circumstances.

Where the whole or part of the chargeable consideration for a transaction is contingent, the amount or value of the consideration shall be determined for the purposes of this Part on the assumption that the outcome of the contingency will be such that the consideration is payable or, as the case may be, does not cease to be payable.

Where the whole or part of the chargeable consideration for a transaction is uncertain or unascertained, its amount or value shall be determined for the purposes of this Part on the basis of a reasonable estimate.

In this Part—

This section has effect subject to—section 80 (adjustment where contingency ceases or consideration is ascertained), and section 90 (application to defer payment in case of contingent or uncertain consideration).

This section applies in relation to chargeable consideration consisting of rent only to the extent that it is applied by paragraph 7 of Schedule 17A.

This section applies to so much of the chargeable consideration for a land transaction as consists of an annuity payable—

For the purposes of this Part the consideration to be taken into account is limited to twelve years' annual payments.

Where the amount payable varies, or may vary, from year to year, the twelve highest annual payments shall be taken. No account shall be taken for the purposes of this Schedule of any provision for adjustment of the amount payable in line with the retail price index.

References in this section to annual payments are to payments in respect of each successive period of twelve months beginning with the effective date of the transaction.

For the purposes of this section the amount or value of any payment shall be determined (if necessary) in accordance with section 51 (contingent, uncertain or unascertained consideration).

References in this section to an annuity include any consideration (other than rent) that falls to be paid or provided periodically. References to payment shall be read accordingly.

Where this section applies—

This section applies where the purchaser is a company and—

The chargeable consideration for the transaction shall be taken to be not less than—

Section 1122 of the Corporation Tax Act 2010 (connected persons) has effect for the purposes of this section.

In this section—

Where this section applies paragraph 1 of Schedule 3 (exemption of transactions for which there is no chargeable consideration) does not apply. But this section has effect subject to any other provision affording exemption or relief from stamp duty land tax.

This section is subject to the exceptions provided for in section 54.

Section 53 (chargeable consideration: transaction with connected company) does not apply in the following cases. In the following provisions “the company” means the company that is the purchaser in relation to the transaction in question.

Case 1 is where immediately after the transaction the company holds the property as trustee in the course of a business carried on by it that consists of or includes the management of trusts.

Case 2 is where—

Case 3 is where—

The amount of tax chargeable in respect of a chargeable transaction to which this section applies is determined in accordance with subsections (1B) and (1C).

This section applies to any chargeable transaction other than a transaction to which paragraph 3 of Schedule 4A or step 4 of section 74(1A) (higher rate for certain transactions) applies.

If... the transaction is not one of a number of linked transactions, the amount of tax chargeable is determined as follows—Step 1 Apply the rates specified in the second column of the appropriate table below to the parts of the relevant consideration specified in the first column of the appropriate table.“The “appropriate table” is—(a) Table A, if the relevant land consists entirely of residential property, and(b) Table B, if the relevant land consists of or includes land that is not residential property. Step 2 Add together the amounts calculated at Step 1 (if there are two or more such amounts).

If... the transaction is one of a number of linked transactions, the amount of tax chargeable in respect of the particular transaction under consideration is determined as follows—Step 1 Apply the rates specified in the second column of the appropriate table in subsection (1B) to the parts of the relevant consideration specified in the first column of the appropriate table.“The “appropriate table” is—(a) Table A, if the relevant land consists entirely of residential property, and(b) Table B, if the relevant land consists of or includes land that is not residential property. Step 2 Add together the amounts calculated at Step 1 (if there are two or more such amounts). Step 3 Multiply the amount given by Step 1 or Step 2, as the case may be, by—C R where—C is the chargeable consideration for the transaction, and R is the relevant consideration.

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For the purposes of subsection (1B) —. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

For the purposes of subsection (1C) —

Schedule 4ZA (higher rates for additional dwellings and dwellings purchased by companies) modifies this section as it applies for the purpose of determining the amount of tax chargeable in respect of certain transactions involving major interests in dwellings.

This section has effect subject to—section 74(1B) (exercise of collective rights by tenants of flats), .... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(which provides for the amount of tax to be determined by reference to a fraction of the relevant consideration).

In the case of a transaction for which the whole or part of the chargeable consideration is rent this section has effect subject to section 56 and Schedule 5 (amount of tax chargeable: rent).

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The leaseback element of a sale and leaseback arrangement is exempt from charge if the qualifying conditions specified below are met.

A “sale and leaseback”arrangement means an arrangement under which—

The qualifying conditions are—

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Schedule 6ZA provides relief for first-time buyers.

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return.

The Treasury may make regulations granting relief on the first acquisition of a dwelling which is a “zero-carbon home”.

For the purposes of this section—

For the purpose of subsection (2) land occupied or enjoyed with a dwelling as a garden or grounds is part of the dwelling.

The regulations shall define “zero-carbon home” by reference to specified aspects of the energy efficiency of a building; for which purpose “energy efficiency” includes—

The relief may take the form of—

Regulations under this section shall not have effect in relation to acquisitions on or after 1st October 2012.

The Treasury may by order—

Regulations under section 58B—

Regulations made by virtue of subsection (1)(b) may, in particular—

In defining “zero-carbon home” regulations under section 58B may include requirements which may be satisfied in relation to a dwelling either—

Regulations under section 58B may modify the effect of section 108, or another provision of this Part about linked transactions, in relation to a set of transactions of which at least one is the first acquisition of a dwelling which is a zero-carbon home.

In determining whether section 116(7) applies, and in the application of section 116(7), a transaction shall be disregarded if or in so far as it involves the first acquisition of a dwelling which is a zero-carbon home.

Regulations under section 58B—

Regulations under section 58B may include provision for relief to be granted in respect of acquisitions occurring during a specified period before the regulations come into force.

Schedule 6B provides for relief in the case of transfers involving multiple dwellings.

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return.

A compulsory purchase facilitating development is exempt from charge.

In this section “compulsory purchase facilitating development” means—

For the purposes of subsection (2)(a) it does not matter how the acquisition is effected (so that provision applies where the acquisition is effected by agreement).

In subsection (2)(b) a “vesting order” means an order made under any statutory provision to authorise the acquisition of land otherwise than by agreement.

In this section “development”—

A land transaction that is entered into in order to comply with a planning obligation or a modification of a planning obligation is exempt from charge if—

In this section—

The following are public authorities for the purposes of subsection (1)(b)—

Schedule 6C provides for relief in the case of transactions relating to land in a special tax site.

In that Schedule—

Relief under that Schedule is available only in relation to a land transaction with an effective date falling on or before the applicable sunset date in relation to the special tax site concerned (as to which see section 332(4) and(5) of the Finance (No.2) Act 2023).

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return.

A claim for relief under that Schedule must—

In this section and Schedule 6C,“special tax site” means an area for the time being designated under section 113 of the Finance Act 2021.

Schedule 7 provides for relief from stamp duty land tax.

In that Schedule—

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return.

A land transaction is exempt from charge if it is entered into for the purposes of or in connection with a qualifying transfer of the whole or part of the business of a mutual insurance company (“the mutual”) to a company that has share capital (“the acquiring company”).

A transfer is a qualifying transfer if—

Shares in the issuing company must be offered, under the scheme, to at least 90% of the persons who are members of the mutual immediately before the transfer.

Under the scheme all of the shares in the issuing company that will be in issue immediately after the transfer has been made, other than shares that are to be or have been issued pursuant to an offer to the public, must be offered to the persons who (at the time of the offer) are—

The Treasury may by regulations—Regulations under paragraph (b) may make different provision for different cases.

For the purposes of this section a company is the wholly-owned subsidiary of another company (“the parent”) if the company has no members except the parent and the parent’s wholly-owned subsidiaries or persons acting on behalf of the parent or the parent’s wholly-owned subsidiaries.

In this section—

A transaction by which a chargeable interest is transferred by a person (“the transferor”) to a limited liability partnership in connection with its incorporation is exempt from charge if the following three conditions are met.

The first condition is that the effective date of the transaction is not more than one year after the date of incorporation of the limited liability partnership.

The second condition is that at the relevant time the transferor—

The third condition is that—

In this section “the relevant time” means—

In this section “limited liability partnership” means a limited liability partnership formed under the Limited Liability Partnerships Act 2000 (c. 12) or the Limited Liability Partnerships Act (Northern Ireland) 2002 (c. 12 (N. I.)).

Schedule 7A provides for relief from stamp duty land tax.

In that Schedule—

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return, and must be accompanied by a notice to HMRC referring to the claim.

In the case of a claim for PAIF seeding relief, the notice must confirm that the purchaser is—

In the case of a claim for co-ownership scheme seeding relief, the notice must confirm that the purchaser is—

The notice must be in such form, and contain such further information, as HMRC may require.

Co-ownership scheme seeding relief may not be claimed where the purchaser is a Reserved Investor Fund (Contractual Scheme) if the scheme—

A land transaction entered into on, or in consequence of, or in connection with, a reorganisation effected by or under a statutory provision is exempt from charge if the purchaser and vendor are both public bodies.

The Treasury may by order provide that a land transaction that is not entered into as mentioned in subsection (1) is exempt from charge if—In this subsection “prescribed” means prescribed in an order made under this subsection.

A “reorganisation” means changes involving—

The following are public bodies for the purposes of this section—Government, Parliament etc A Minister of the Crown The Scottish Ministers A Northern Ireland department The Welsh Ministers, the First Minister for Wales and the Counsel General to the Welsh Government The Corporate Officer of the House of Lords The Corporate Officer of the House of Commons The Scottish Parliamentary Corporate Body The Northern Ireland Assembly Commission The National Assembly for Wales Commission Local government: England A county or district council constituted under section 2 of the Local Government Act 1972 (c. 70) The council of a London borough The Greater London Authority The Common Council of the City of London The Council of the Isles of Scilly Local government: Wales A county or county borough council constituted under section 21 of the Local Government Act 1972 Local government: Scotland A council constituted under section 2 of the Local Government etc. (Scotland) Act 1994 (c. 39) Local government: Northern Ireland A district council within the meaning of the Local Government Act (Northern Ireland) 1972 (c. 9 (N.I.)) Health: England and Wales A Strategic Health Authority established under section 13 of the National Health Service Act 2006 A Special Health Authority established under section 28 of that Act or section 22 of the National Health Service (Wales) Act 2006 A Primary Care Trust established under section 18 of the National Health Service Act 2006 A Local Health Board established under section 11 of the National Health Service (Wales) Act 2006 A National Health Service Trust established under section 25 of the National Health Service Act 2006 or section 18 of the National Health Service (Wales) Act 2006 Health: Scotland The Common Services Agency established under section 10(1) of the National Health Service (Scotland) Act 1978 (c. 29) A Health Board established under section 2(1)(a) of that Act A National Health Service Trust established under section 12A(1) of that Act A Special Health Board established under section 2(1)(b) of that Act Health: Northern Ireland The Regional Agency for Public Health and Social Well-being A Health and Social Care trust established under Article 10 of the Health and Personal Social Services (Northern Ireland) Order 1991 (S.I. 1991/194 (N.I. 1)) Other planning authorities Any other authority that—is a local planning authority within the meaning of the Town and Country Planning Act 1990 (c. 8), or is the planning authority for any of the purposes of the planning Acts within the meaning of the Town and Country Planning (Scotland) Act 1997 (c. 8)... Statutory bodies A body (other than a company) that is established by or under a statutory provision for the purpose of carrying out functions conferred on it by or under a statutory provision Prescribed persons A person prescribed for the purposes of this section by Treasury order

In this section references to a public body include—

In this section “company” means a company as defined by section 1 of the Companies Act 2006 ....

A land transaction is exempt from charge if it is effected by—

The instruments are—

References in subsection (2) to a provision of the Banking Act 2009 include references to that provision as applied by or under any other provision of that Act (including where it is applied with modifications or in a substituted form).

Where—

In relation to any such order as is mentioned in subsection (1)(a)—

In relation to the date of the change—

In this section—

For the purposes of this section a new association is a successor to an existing association if any part of the existing association’s area is comprised in the new association’s area.

A land transaction is exempt from charge if the purchaser is any of the following—

Any relief under this section must be claimed in a land transaction return or an amendment of such a return.

Schedule 8 provides for relief from stamp duty land tax for acquisitions by charities.

Any relief under that Schedule must be claimed in a land transaction return or an amendment of such a return.

A land transaction under which the purchaser is a profit-making registered provider of social housing is exempt from charge if the transaction is funded with the assistance of a public subsidy.

A land transaction under which the purchaser is a relevant housing provider is exempt from charge if—

In this section “relevant housing provider” means—

The reference in subsection (1)(a) to a non-profit registered provider of social housing“controlled by its tenants” is to a non-profit registered provider of social housing the majority of whose board members are tenants occupying properties owned or managed by it.

In subsection (1)(b) “qualifying body” means—

In this section“public subsidy” means any grant or other financial assistance—

In this section “public subsidy” also means—

In subsection (5) “social housing” has the meaning it has in Part 2 of the Housing and Regeneration Act 2008 (see, in particular, section 68 of that Act).

In this section “English local authority” means—

This section applies where arrangements are entered into between a person and a financial institution under which—

The first transaction is exempt from charge if the vendor is—

The second transaction is exempt from charge if the provisions of this Part relating to the first transaction are complied with (including the payment of any tax chargeable).

Any transfer to the person that results from the exercise of the right mentioned in subsection (1)(d) (“a further transaction”) is exempt from charge if—

The agreement mentioned in subsection (1)(d) is not to be treated—

The requirements of subsection (1), or (4)(b)(ii), are not met if—

A further transaction that is exempt from charge by virtue of subsection (4) is not a notifiable transaction unless the transaction involves the transfer to the person of the whole interest purchased by the institution under the first transaction, so far as not transferred by a previous further transaction.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

References in this section to a person shall be read, in relation to times after the death of the person concerned, as references to his personal representatives.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

This section applies where arrangements are entered into between a person and a financial institution under which—

The first transaction is exempt from charge if the vendor is—

The second transaction is exempt from charge if the financial institution complies with the provisions of this Part relating to the first transaction (including the payment of any tax chargeable on a chargeable consideration that is not less than the market value of the interest and, in the case of the grant of a lease at a rent, the rent.).

This section does not apply if—

In this section—

References in this section to a person shall be read, in relation to times after the death of the person concerned, as references to his personal representatives.

Section 71A... does not apply to alternative finance arrangements if those arrangements, or any connected arrangements, include arrangements for a person to acquire control of the relevant financial institution.

That includes arrangements for a person to acquire control of the relevant financial institution only if one or more conditions are met (such as the happening of an event or doing of an act).

In this section—“alternative finance arrangements” means the arrangements referred to in section 71A(1)...;“arrangements” includes any agreement, understanding, scheme, transaction or series of transactions (whether or not legally enforceable);“connected arrangements” means any arrangements entered into in connection with the making of the alternative finance arrangements (including arrangements involving one or more persons who are not parties to the alternative finance arrangements);“relevant financial institution” means the financial institution which enters into the alternative finance arrangements.

Section 1124 of the Corporation Tax Act 2010 applies for the purposes of determining who has control of the relevant financial institution.

An interest held by a financial institution as a result of the first transaction within the meaning of section 71A(1)(a)... is an exempt interest for the purposes of stamp duty land tax.

That interest ceases to be an exempt interest if—

Subsection (1) does not apply if the first transaction is exempt from charge by virtue of Schedule 7.

Subsection (1) does not make an interest exempt in respect of—

In sections 71A to 73B “financial institution” has the meaning given by section 564B of the Income Tax Act 2007.

For this purpose section 564B(1) applies as if paragraph (d) were omitted.

In sections 71A, 73AB and 73B, “financial institution” also includes a person with permission under Part 4A of the Financial Services and Markets Act 2000 to carry on the regulated activity specified in Article 63F(1) of the Financial Services and Markets Act (Regulated Activities) Order 2001 (S.I. 2001/544) (entering into regulated home purchase plans as home purchase provider).

This section applies where a chargeable transaction is entered into by a person or persons nominated or appointed by qualifying tenants of flats contained in premises in exercise of—

The amount of tax is determined as follows. Step 1 Determine the fraction of the relevant consideration produced by dividing the total amount of that consideration by the number of qualifying flats contained in the premises. Step 2 If the amount produced by step 1 is£500,000 or less, determine the amount of tax chargeable in accordance with subsection (1B). Step 3 If the amount produced by step 1 is more than£500,000 and the condition in paragraph 3(3) of Schedule 4A is not met with respect to the transaction, determine the amount of tax chargeable in accordance with subsection (1B). Step 4 If the amount produced by step 1 is more than£500,000 and the condition in paragraph 3(3) of Schedule 4A is met with respect to the transaction, subsection (1B) does not apply, and the amount of tax chargeable in respect of the transaction is 17%of the chargeable consideration for the transaction.

Where step 2 or 3 of subsection (1A) requires the amount of tax chargeable to be determined in accordance with this subsection, it is determined as follows. Step 1 Determine the amount of tax chargeable under section 55 as if the relevant consideration for the chargeable transaction were the fraction of the relevant consideration calculated under step 1 of subsection (1A). Step 2 Multiply the amount determined at step 1 by the number of qualifying flats contained in the premises.

In this section—“flat” and “qualifying tenant” have the same meaning as in the Chapter or Part of the Act conferring the right being exercised;“qualifying flat” means a flat that is held by a qualifying tenant who is participating in the exercise of the right.

References in this section to the relevant consideration have the same meaning as in section 55.

In its application for the purpose of determining the amount of tax chargeable in respect of a chargeable transaction that is a non-resident transaction, this Part has effect as if 2% were added to each rate specified in the rate-specifying provisions.

The “rate-specifying provisions” are—

Schedule 9A defines “non-resident transaction” and makes further provision in connection with this section.

This section applies where—

In subsection (1) “transaction” includes, in particular—

The scheme transactions may include, for example—

Where this section applies—

The chargeable consideration on the notional transaction mentioned in subsections (1)(c) and (4)(b) is the largest amount (or aggregate amount)—

The effective date of the notional transaction is—

This section does not apply where subsection (1)(c) is satisfied only by reason of—

In calculating the chargeable consideration on the notional transaction for the purposes of section 75A(5), consideration for a transaction shall be ignored if or in so far as the transaction is merely incidental to the transfer of the chargeable interest from V to P.

A transaction is not incidental to the transfer of the chargeable interest from V to P—

A transaction may, in particular, be incidental if or in so far as it is undertaken only for a purpose relating to—

In subsection (3)—

The exclusion required by subsection (1) shall be effected by way of just and reasonable apportionment if necessary.

In this section a reference to the transfer of a chargeable interest from V to P includes a reference to a disposal by V of an interest acquired by P.

A transfer of shares or securities shall be ignored for the purposes of section 75A if but for this subsection it would be the first of a series of scheme transactions.

The notional transaction under section 75A attracts any relief under this Part which it would attract if it were an actual transaction (subject to the terms and restrictions of the relief).

The notional transaction under section 75A is a land transaction entered into for the purposes of or in connection with the transfer of an undertaking or part for the purposes of paragraphs 7 and 8 of Schedule 7, if any of the scheme transactions is entered into for the purposes of or in connection with the transfer of the undertaking or part.

In the application of section 75A(5) no account shall be taken of any amount paid by way of consideration in respect of a transaction to which any of sections 60, 61, 63, 64, 65, 66, 67, 69, 71 and 74, or a provision of Schedule 6A, 7A or 8, applies.

In the application of section 75A(5) an amount given or received partly in respect of the chargeable interest acquired by P and partly in respect of another chargeable interest shall be subjected to just and reasonable apportionment.

Section 53 applies to the notional transaction under section 75A.

Paragraph 5 of Schedule 4 applies to the notional transaction under section 75A.

For the purposes of section 75A—

Nothing in Part 3 of Schedule 15 applies to the notional transaction under section 75A.

For the purposes of section 75A a reference to an amount of consideration includes a reference to the value of consideration given as money's worth.

Stamp duty land tax paid in respect of a land transaction which is to be disregarded by virtue of section 75A(4)(a) is taken to have been paid in respect of the notional transaction by virtue of section 75A(4)(b).

The Treasury may by order provide for section 75A not to apply in specified circumstances.

An order under subsection (11) may include incidental, consequential or transitional provision and may make provision with retrospective effect.

In the case of every notifiable transaction the purchaser must deliver a return (a “land transaction return”) to the Inland Revenue before the end of the period of 14 days after the effective date of the transaction.

The Inland Revenue may by regulations amend subsection (1) so as to require a land transaction return to be delivered before the end of such shorter period after the effective date of the transaction as may be prescribed or, if the regulations so provide, on that date.

A land transaction return in respect of a chargeable transaction must—

A land transaction is notifiable if it is—

This section has effect subject to—

In this section “relief” does not include an exemption from charge under Schedule 3.

The exceptions referred to in section 77(1)(a) are as follows.

Chargeable consideration for an acquisition does not exceed the zero rate threshold if it does not consist of or include—

In this section—“annual rent” has the meaning given in paragraph 9A of Schedule 5,“relevant rent” means—the annual rent, or in the case of the grant of a lease to which paragraph 11 or 19 of Schedule 15 applies, the relevant chargeable proportion of the annual rent (as calculated in accordance with that paragraph), and“relief” does not include an exemption from charge under Schedule 3.

Schedule 10 has effect with respect to land transaction returns, assessments and related matters.

In that Schedule—

The Treasury may by regulations make such amendments of that Schedule, and such consequential amendments of any other provisions of this Part, as appear to them to be necessary or expedient from time to time.

Relevant information contained in land transaction returns delivered under section 76 (whether before or after the commencement of this section) is to be available for use—

In this section, “relevant information” means any information of the kind mentioned in paragraph 1(4) of Schedule 10 (information corresponding to particulars required under previous legislation).

The Treasury may by regulations amend the definition of relevant information in subsection (2).

In this section “valuation tribunal” means—

A land transaction to which this section applies, or (as the case may be) a document effecting or evidencing a land transaction to which this section applies, shall not be registered, recorded or otherwise reflected in an entry made—

This section applies to every notifiable land transaction other than a transaction treated as taking place—In this subsection “contract” includes any agreement and “conveyance” includes any instrument.

Subsection (1), so far as relating to the entry of a notice under section 34 of the Land Registration Act 2002 or section 38 of the Land Registration Act (Northern Ireland) 1970 (notice in respect of interest affecting registered land), does not apply where the land transaction in question is the variation of a lease.

The certificate referred to in subsection (1) must be ...—

The Inland Revenue may make provision by regulations about Revenue certificates. The regulations may, in particular—

Part 2 of Schedule 11 imposes a duty to keep and preserve records in respect of transactions that are not notifiable.

The registrar ...—

Where section 51 (contingent, uncertain or unascertained consideration) applies in relation to a transaction and—the following provisions have effect to require or permit reconsideration of how this Part applies to the transaction (and to any transaction in relation to which it is a linked transaction).

If the effect of the new information is that a transaction becomes notifiable, the purchaser must make a return to HMRC within 14 days.

If the effect of the new information is that—the purchaser must make a further return to HMRC within 30 days.

For the purposes of subsections (2) and (2A), any tax or additional tax payable is calculated according to the effective date of the transaction.

If a purchaser is required to make a return under subsection (2) or a further return under subsection (2A)—

The provisions of Schedule 10 (returns, enquiries, assessments and other matters) apply to a return under this section as they apply to a return under section 76 (general requirement to make land transaction return), subject to the adaptation that references to the effective date of the transaction shall be read as references to the date of the event as a result of which the return is required.

If the effect of the new information is that less tax is payable in respect of a transaction (calculated according to its effective date) than has already been paid,

Where the transaction (“the relevant transaction”) is the grant or assignment of a lease, no claim may be made under subsection (4)—

This section does not apply so far as the consideration consists of rent (see paragraph 8 of Schedule 17A).

Where relief is withdrawn to any extent under—the purchaser must deliver a further return before the end of the period of 30 days after the date on which the disqualifying event occurred.

Where relief is withdrawn to any extent under—the purchaser must deliver a further return before the end of the period of 30 days after the relevant date.

In subsection (1A) “the relevant date” means—

For the purposes of subsection (1B)(ea) (relief under paragraph 5FA of Schedule 4A withdrawn because the conditions in paragraph 5L(3) of that Schedule are met), the date is—

Where relief is withdrawn to any extent under paragraph 5L of Schedule 4A in a case to which paragraph 5L(4) or (7) applies, the reference in subsection (1A) to the purchaser is to be read as a reference to the relevant successor.

The return must—

Where subsection (1) or (1A) applies any tax payable must be paid not later than the filing date for the return.

The provisions of Schedule 10 (returns, assessments and other matters) apply for the purposes of this section with the following modifications—

In this section “the disqualifying event” means—

Terms used in paragraph (eb) of subsection (1B) which are defined for the purposes of Schedule 6C have the same meaning in that paragraph as they have in that Schedule.

Paragraph 10 of Schedule 6C applies for the purposes of subsection (1B)(eb) as it applies for the purposes of paragraph 8 of that Schedule.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

In subsections(1C),(1D) and(3)(e)(which relate to the withdrawal of relief under paragraph 5L of Schedule 4A) “the relevant successor” means the person who is the most recent successor in the chain of succession at the time relief is withdrawn (and that person could be the first successor, the second successor or a subsequent successor).

Terms used in subsections(1C) and (6) which are defined for the purposes of paragraph 5L of Schedule 4A have the same meaning in those subsections as they have in that paragraph.

Where relief given in respect of a transaction entered into under alternative finance arrangements is withdrawn to any extent under any of paragraphs 6D, 6F, 6G, 6H or 6I of Schedule 4A (higher rate of tax: alternative finance arrangements) or under Part 3 of Schedule 6C (relief for special tax sites) in a case to which paragraph 11 of that Schedule (alternative finance arrangements) applies—

The provisions of Schedule 10 (returns, assessments and other matters) apply for the purposes of this section with the following modifications—

In this section “the date of the disqualifying event” means—

In subsection (3)(a)“relevant requirement” means—

In subsection (3)(a)“the control period” has the same meaning as in paragraph 5G, 5H, 5I, 5J or 5K (as the case requires) of Schedule 4A.

For the purposes of subsection (3)(b) (relief withdrawn because the conditions in paragraph 6I(2) of Schedule 4A are met), the date is—

In this section—“alternative finance arrangements” means any arrangements such as are mentioned in section 71A, 72, 72A or 73;“the relevant person” means—the person (other than the financial institution) who entered into the arrangements in question, or where relief is withdrawn to any extent under paragraph 6I of Schedule 4A in a case to which paragraph 6I(3) or (6) applies, the relevant successor;“the relevant successor” means the person who is the most recent successor in the chain of succession at the time relief is withdrawn (and that person could be the first successor, the second successor or a subsequent successor).

Terms used in paragraph (c) of subsection (3) which are defined for the purposes of Schedule 6C have the same meaning in that paragraph as they have in that Schedule (as modified by paragraph 11 of that Schedule).

Paragraph 10 of Schedule 6C (as modified by paragraph 11 of that Schedule) applies for the purposes of subsection (3)(c) as it applies for the purposes of paragraph 8 of that Schedule.

Terms used in subsection (5A), and in the definition of “the relevant successor” in subsection (6), which are defined for the purposes of paragraph 6I of Schedule 4A have the same meaning in those provisions as they have in that paragraph.

Where the effect of a transaction (“the later transaction”) that is linked to an earlier transaction is that the earlier transaction becomes notifiable, the purchaser under the earlier transaction must deliver a return in respect of that transaction before the end of the period of 14 days after the effective date of the later transaction.

Where the effect of a transaction (“the later transaction”) that is linked to an earlier transaction is that—the purchaser under the earlier transaction must deliver a further return in respect of that transaction before the end of the period of 30 days after the effective date of the later transaction.

For the purposes of subsections (1) and (1A), any tax or additional tax payable is calculated according to the effective date of the earlier transaction.

Where a purchaser is required to deliver a return under subsection (1) or a further return under subsection (1A)—

The provisions of Schedule 10 (returns, enquiries, assessments and other matters) apply to a return under this section as they apply to a return under section 76 (general requirement to deliver land transaction return), with the following adaptations—

This section does not affect any requirement to make a return under section 76 in respect of the later transaction.

This section applies to the declaration mentioned in paragraph 1(1)(c) of Schedule 10... (declaration that return... is correct and complete).

The requirement that an individual make such a declaration (alone or jointly with others) is treated as met if a declaration to that effect is made by a person authorised to act on behalf of that individual in relation to the matters to which the return or certificate relates.

For the purposes of this section a person is not regarded as authorised to act on behalf of an individual unless he is so authorised by a power of attorney in writing, signed by that individual. In this subsection as it applies in Scotland “power of attorney” includes factory and commission.

Nothing in this section affects the making of a declaration in accordance with—

This section applies where—has been lost or destroyed, or been so defaced or damaged as to be illegible or otherwise useless.

The Inland Revenue may treat the return as not having been delivered or the document as not having been made or provided.

Anything done on that basis shall be as valid and effective for all purposes as it would have been if the return had not been made or the document had not been made or provided.

But if as a result a person is charged with tax and he proves to the satisfaction of the tribunal that he has already paid tax in respect of the transaction in question, relief shall be given, by reducing the charge or by repayment as the case may require.

An assessment, determination, notice or other document required to be used in assessing, charging, collecting and levying tax or determining a penalty under this Part must be in accordance with the forms prescribed from time to time by the Board and a document in the form so prescribed and supplied or approved by the Board is valid and effective.

Any such assessment, determination, notice or other document purporting to be made under this Part is not ineffective—if it is substantially in conformity with this Part and its intended effect is reasonably ascertainable by the person to whom it is directed.

The validity of an assessment or determination is not affected—

A notice or other document to be served under this Part on a person may be delivered to him or left at his usual or last known place of abode.

A notice or other document to be given, served or delivered under this Part may be served by post.

For the purposes of section 7 of the Interpretation Act 1978 (c. 30) (general provisions as to service by post) any such notice or other document to be given or delivered to, or served on, any person by the Inland Revenue is properly addressed if it is addressed to that person—

The purchaser is liable to pay the tax in respect of a chargeable transaction.

As to the liability of purchasers acting jointly see—section 103(2)(c) (joint purchasers); Part 2 of Schedule 15 (partners); and paragraph 5 of Schedule 16 (trustees).

Where relief is withdrawn to any extent under paragraph 5L of Schedule 4A (qualifying housing co-operatives) in a case to which paragraph 5L(4) or (7) applies—

In subsection(2A)“the relevant successor” has the same meaning as it has in subsections(1C),(1D) and(3)(e) of section 81 (see subsections (6) and (7) of that section).

Where relief given in respect of a transaction entered into under alternative finance arrangements is withdrawn to any extent under any of paragraphs 6D, 6F, 6G, 6H and 6I of Schedule 4A (higher rate: alternative finance arrangements) or under Part 3 of Schedule 6C (relief for special tax sites) in a case to which paragraph 11 of that Schedule (alternative finance arrangements) applies—

In subsection (3) “the relevant person”has the same meaning as in section 81ZA (see subsections (6) and (7) of that section).

Tax payable in respect of a land transaction must be paid not later than the filing date for the land transaction return relating to the transaction.

Tax payable as a result of the withdrawal of relief under—must be paid not later than the filing date for the return relating to the withdrawal (see section 81).

Tax payable as a result of a withdrawal of relief under any of paragraphs 6D, 6F, 6G, 6H and 6I of Schedule 4A (higher rate: alternative finance arrangements) or under Part 3 of Schedule 6C (relief for special tax sites) in a case to which paragraph 11 of that Schedule (alternative finance arrangements) applies must be paid not later than the filing date for the return relating to the withdrawal (see section 81ZA(1)).

Tax payable as a result of the amendment of a return must be paid forthwith or, if the amendment is made before the filing date for the return, not later than that date.

Tax payable in accordance with a determination or assessment by the Inland Revenue must be paid within 30 days after the determination or assessment is issued.

The above provisions are subject to—

The above provisions are also subject to paragraph 7 of Schedule 61 to the Finance Act 2009 (payment of tax where land ceases to qualify for relief in respect of alternative finance investment bonds).

This section does not affect the date from which interest is payable (as to which, see section 87).

Interest is payable on the amount of any unpaid tax from the end of the period of 30 days after the relevant date until the tax is paid.

But where the relevant date is determined by subsection (3)(aa), (aaa), (ab) or (c) or section 87A(4) or (6), and a return is required to be delivered before the end of the period of 14 days after that relevant date, interest is instead payable on the amount of any unpaid tax from the end of that period until the tax is paid.

The Inland Revenue may by regulations amend subsection (1) or (1A) so as to make interest run from the end of such shorter period after the relevant date as may be prescribed or, if the regulations so provide, from that date.

For the purposes of this section “the relevant date” is—

In subsection (3)(a) “the disqualifying event” has the same meaning as in section 81(4)(except in a case to which section 87A applies).

Subsection (3)(c) applies in a case within section 51 (contingent, uncertain or unascertained consideration) if payment is not deferred under section 90, with the result that interest on any tax payable under section 80 (adjustment where contingency ceases or consideration is ascertained) runs from the effective date of the transaction.

If an amount is lodged with the Inland Revenue in respect of the tax, the amount on which interest is payable is reduced by that amount.

Interest is calculated at the rate applicable under section 178 of the Finance Act 1989 (c. 26) (power of Treasury to prescribe rates of interest).

This section makes provision about the meaning of “relevant date” for the purposes of section 87 in the cases set out below where co-ownership seeding relief in relation to a land transaction has been withdrawn under paragraph 13 of Schedule 7A as a result of the purchaser ceasing to be a Reserved Investor Fund (Contractual Scheme) (and, accordingly, ceasing to be a co-ownership contractual scheme).

In those cases this section applies instead of section 87(3)(a)(iib) for the purposes of determining the relevant date.

The first case is where—and in such a case the “relevant date” is the date on which the breach mentioned in paragraph (a) first occurred.

The second case is where—and in such a case the “relevant date” is the effective date of the relevant land transaction.

The third case is where—and in such a case the “relevant date” means the date on which regulation 19 first applied in relation to the scheme.

The fourth case is where—and in such a case the “relevant date” means the effective date of the relevant land transaction.

In this section—“the 2025 Regulations” means the Co-ownership Contractual Schemes (Tax) Regulations 2025;“cure period”—in relation to a breach of the ownership requirement, means—“the 9 month period” that applies in relation to the breach under regulation 16 of the 2025 Regulations (as defined in that regulation), or if a notice is given in relation to the breach under paragraph (2) of that regulation, the period beginning with the day on which the breach occurred and ending on the day on which the notice is given; in relation to a breach of the restriction requirement, means—“the 9 month period” that applies in relation to a breach under regulation 18 of the 2025 Regulations (as defined in that regulation), or if a notice is given in relation to the breach under paragraph (3) of that regulation, the period beginning with the day on which the breach occurred and ending on the day on which the notice is given;“ownership requirement” has the meaning given in regulation 5 of the 2025 Regulations;“relevant land transaction” means the land transaction to which the withdrawal of seeding relief relates;“restriction requirement” has the meaning given in regulation 10(1) of the 2025 Regulations;“UK property rich condition” has the meaning given in regulation 12 of the 2025 Regulations.

A repayment by the Inland Revenue to which this section applies shall be made with interest at the rate applicable under section 178 of the Finance Act 1989 for the period between the relevant time (as defined below) and the date when the order for repayment is issued.

This section applies to—In that case the relevant time is the date on which the payment of tax or penalty was made.

This section also applies to a repayment by the Inland Revenue of an amount lodged with them in respect of the tax payable in respect of a transaction. In that case the relevant time is the date on which the amount was lodged with them.

No interest is payable under this section in respect of a payment made in consequence of an order or judgment of a court having power to allow interest on the payment.

Interest paid to any person under this section is not income of that person for any tax purposes.

The purchaser may apply to the Inland Revenue to defer payment of tax in a case where the amount payable depends on the amount or value of chargeable consideration that—

The Inland Revenue may make provision by regulations for carrying this section into effect.

The regulations may in particular—

The provisions of Schedule 10 (returns, enquiries, assessments and other matters) apply to a return under this section as they apply to a land transaction return.

An application under this section does not affect the purchaser’s obligations as regards payment of tax in respect of chargeable consideration that has already been paid or provided or is not contingent and whose amount is ascertained or ascertainable at the time the application is made. This applies as regards both the time of payment and the calculation of the amount payable.

Regulations under this section may provide that where—section 80 (adjustment where contingency ceases or consideration is ascertained) does not apply in relation to the payment and, instead, any necessary adjustment shall be made in accordance with the regulations.

This section does not apply so far as the consideration consists of rent.

The provisions of Schedule 12 have effect with respect to the collection and recovery of tax.

The provisions of that Schedule have effect in relation to the collection and recovery of any unpaid amount by way of—as if it were an amount of unpaid tax.

Schedule 13 has effect with respect to the powers of the Inland Revenue to call for documents and information for the purposes of stamp duty land tax.

In that Schedule—

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A person commits an offence if he is knowingly concerned in the fraudulent evasion of tax by him or any other person.

A person guilty of an offence under this section is liable—

For the purposes of this Part a person shall be deemed not to have failed to do anything required to be done within a limited time if he did it within such further time, if any, as the Inland Revenue may allow.

Where a person had a reasonable excuse for not doing anything required to be done for the purposes of this Part—

Statements made or documents produced by or on behalf of a person are not inadmissible in proceedings to which this section applies by reason only that it has been drawn to his attention—and that he was or may have been induced thereby to make the statements or produce the documents.

The proceedings to which this section applies are—

Schedule 14 has effect with respect to the determination of penalties under this Part and related appeals.

The Board may in their discretion mitigate a penalty under this Part, or stay or compound any proceedings for the recovery of such a penalty. They may also, after judgment, further mitigate or entirely remit the penalty.

Where a person is liable to more than one tax-related penalty in respect of the same land transaction, each penalty after the first shall be reduced so that his liability to such penalties, in total, does not exceed the amount of whichever is (or, but for this subsection, would be) the greatest one.

Nothing in the provisions of this Part relating to penalties affects any criminal proceedings for an offence.

In this Part “company”, except as otherwise expressly provided, means any body corporate or unincorporated association, but does not include a partnership.

Everything to be done by a company under this Part shall be done by the company acting through—Paragraph (b) does not apply where a liquidator has been appointed for the company.

Service on a company of any document under or in pursuance of this Part may be effected by serving it on the proper officer.

Tax due from a company that—may, without prejudice to any other method of recovery, be recovered from the proper officer of the company.

The proper officer may retain out of any money coming into his hands on behalf of the company sufficient sums to pay that tax and, so far as he is not so reimbursed, he is entitled to be indemnified by the company in respect of the liability imposed on him.

For the purposes of this Part—This subsection does not apply if a liquidator or administrator has been appointed for the company.

If a liquidator or administrator has been appointed for the company, then, for the purposes of this Part—

This Part (with the exception of the provision mentioned in subsection (7) below) applies in relation to a unit trust scheme as if—

Each of the parts of an umbrella scheme is regarded for the purposes of this Part as a separate unit trust scheme and the scheme as a whole is not so regarded.

An “umbrella scheme” means a unit trust scheme—A “part” of an umbrella scheme means such of the arrangements as relate to a separate pool.

In this Part, subject to any regulations under subsection (5)—

The Treasury may by regulations provide that a scheme of a description specified in the regulations is to be treated as not being a unit trust scheme for the purposes of this Part. Any such regulations may contain such supplementary and transitional provisions as appear to the Treasury to be necessary or expedient.

Section 620 of the Corporation Tax Act 2010 (court investment funds treated as authorised unit trusts) applies for the purposes of this Part as it applies for the purposes of that Act, with the substitution for references to an authorised unit trust of references to a unit trust scheme.

An unit trust scheme is not to be treated as a company for the purposes of—... Schedule 7 (group relief, reconstruction relief or acquisition relief) , or Schedule 9A (increased rates for non-resident transactions).

The Treasury may by regulations make such provision as they consider appropriate for securing that the provisions of this Part have effect in relation to—in a manner corresponding, subject to such modifications as the Treasury consider appropriate, to the manner in which they have effect in relation to unit trust schemes and transactions involving such trusts.

The regulations may, in particular, make provision—

Regulations under this section may—

In this section—

This section has effect for the purposes of this Part.

This Part, with the exception of Schedule 7 (see subsection (10)), applies in relation to a co-ownership... contractual scheme as if—

In this Part, a “co-ownership contractual scheme” means—

An “umbrella scheme” means a co-ownership... contractual scheme—

A “sub-scheme”, in relation to an umbrella scheme, means such of the pooling arrangements as relate to a separate pool.

Each of the sub-schemes of an umbrella scheme is regarded as a separate co-ownership... contractual scheme, and the umbrella scheme as a whole is not so regarded.

In relation to a sub-scheme of an umbrella scheme—

References to a co-ownership authorised contractual scheme are treated as including a collective investment scheme which—provided that, apart from this section, no charge to tax is capable of arising to the scheme under this Part.

Subject to any regulations under subsection (9)—“co-ownership authorised contractual scheme” means a co-ownership scheme which is authorised for the purposes of FSMA 2000 by an authorisation order in force under section 261D(1) of that Act;“co-ownership scheme” has the same meaning as in FSMA 2000 (see section 235A of that Act);“Reserved Investor Fund (Contractual Scheme)” has the meaning given by section 20 of the Finance (No.2) Act 2024.

The Treasury may by regulations provide that a scheme of a description specified in the regulations is to be treated as not being a co-ownership authorised contractual scheme or a Reserved Investor Fund (Contractual Scheme) for the purposes of this Part. Any such regulations may contain such supplementary and transitional provisions as appear to the Treasury to be necessary or expedient.

A co-ownership... contractual scheme is not to be treated as a company for the purposes of Schedule 7 (group relief, reconstruction relief or acquisition relief).

In relation to a land transaction in respect of which a co-ownership... contractual scheme is treated as the purchaser by virtue of this section, references to the purchaser in the following provisions are to be read as references to the operator of the scheme—

In this section—“collective investment scheme” has the meaning given by section 235 of FSMA 2000;“FSMA 2000” means the Financial Services and Markets Act 2000;“operator”—in relation to a co-ownership... contractual scheme constituted under the law of the United Kingdom, has the meaning given by section 237(2) of FSMA 2000, and in relation to a collective investment scheme treated as a co-ownership authorised contractual scheme by virtue of subsection (7) (equivalent EEA schemes), means the corporate body responsible for the management of the scheme (however described);“participant” is to be read in accordance with section 235 of FSMA 2000.

This section applies to a land transaction where there are two or more purchasers who are or will be jointly entitled to the interest acquired.

The general rules are that—These rules are subject to the following provisions.

If the transaction is a notifiable transaction, a single land transaction return is required.

The declaration required by paragraph 1(1)(c) of Schedule 10 ... (declaration that return ... is complete and correct) must be made by all the purchasers.

If the Inland Revenue give notice of an enquiry into the return ...—

A Revenue determination or discovery assessment relating to the transaction must be made against all the purchasers and is not effective against any of them unless notice of it is given to each of them whose identity is known to the Inland Revenue.

In the case of an appeal arising from proceedings under this Part relating to the transaction—

In a case where subsection (7) applies and some (but not all) of the purchasers require HMRC to undertake a review under paragraph 36B or 36C of Schedule 10—

This section has effect subject to—

Schedule 15 has effect with respect to the application of this Part in relation to partnerships.

In that Schedule—

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The personal representatives of a person who is the purchaser under a land transaction—

A receiver appointed by a court in the United Kingdom having the direction and control of any property is responsible for discharging any obligations under this Part in relation to a transaction affecting that property as if the property were not under the direction and control of the court.

This Part binds the Crown, subject to the following provisions of this section.

A land transaction under which the purchaser is any of the following is exempt from charge:

The powers conferred by Part 7 of Schedule 13 (entry with warrant to obtain information) are not exercisable in relation to premises occupied for the purposes of the Crown.

Nothing in this section shall be read as making the Crown liable to prosecution for an offence.

Transactions are “linked” for the purposes of this Part if they form part of a single scheme, arrangement or series of transactions between the same vendor and purchaser or, in either case, persons connected with them. Section 1122 of the Corporation Tax Act 2010 (connected persons) has effect for the purposes of this subsection

A transaction is not a linked transaction if—

Where there are two or more linked transactions with the same effective date, the purchaser, or all of the purchasers if there is more than one, may make a single land transaction return as if all of those transactions that are notifiable were a single notifiable transaction.

Where two or more purchasers make a single return in respect of linked transactions, section 103 (joint purchasers) applies as if—

This section is subject to section 47(1).

The Treasury may if they consider it expedient in the public interest make provision by regulations for the variation of this Part in its application to land transactions of any description.

The power conferred by this section includes, in particular, power to alter—

The power under subsection (2)(b) includes power to alter the conditions for the application to a chargeable transaction of paragraph 3 of Schedule 4A (higher rate for certain transactions), other than the condition that the transaction must be a high-value residential transaction.

The power conferred by this section does not, except as mentioned in subsections (2)(b) and (2A), include power to vary any threshold, rate or amount specified in—

This section has effect subject to section 110 (approval of regulations by House of Commons).

Regulations under this section do not apply in relation to any transaction of which the effective date is after the end of—This does not affect the power to make further provision by regulations under this section to the same or similar effect.

Regulations under this section may include such supplementary, transitional and incidental provision as appears to the Treasury to be necessary or expedient.

The power conferred by this section may be exercised at any time after the passing of this Act.

An instrument containing regulations under section 109 (general power to vary this Part by regulations) must be laid before the House of Commons after being made.

If the regulations are not approved by the House of Commons before the end of the period of 28 days beginning with the day on which they are made, they shall cease to have effect at the end of that period (if they have not already ceased to have effect under subsection (3)).

If on any day during that period of 28 days the House of Commons, in proceedings on a motion that (or to the effect that) the regulations be approved, comes to a decision rejecting the regulations, they shall cease to have effect at the end of that day.

In reckoning any such period of 28 days take no account of any time during which—

Where regulations cease to have effect under this section, their ceasing to have effect is without prejudice to anything done in reliance on them. As to claims for repayment, see section 111.

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This section does not apply to regulations containing only provision varying Schedule 6ZA or paragraph 16 of Schedule 9 which does not increase any person's liability to tax.

Where regulations cease to have effect under section 110, a claim may be made to the Inland Revenue for repayment of any tax, interest or penalty that would not have been payable but for the regulations.

Section 89 (interest on repayment of tax overpaid etc) applies to a repayment under this section.

A claim for repayment must be made within two years after the effective date of the transaction in question.

The Inland Revenue may make provision by regulations—

The Treasury may by regulations amend the following provisions of this Part—

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A statutory instrument containing regulations under this section shall not be made unless a draft of the instrument has been laid before and approved by resolution of the House of Commons.

The power conferred by this section is not exercisable after the implementation date.

References in this Part to “the Inland Revenue” are to any officer of the Board, except as otherwise provided.

Any power of the Inland Revenue to make regulations is exercisable only by the Board.

In Schedule 10 (returns, assessments and other administrative matters)—

The following functions of the Inland Revenue under Schedule 11A (claims not included in returns) are functions of the Board—

Nothing in this section affects any provision of this Part that expressly confers functions on the Board, an officer of the Board, a collector or a specific officer of the Board.

Except as otherwise provided, any power of the Treasury or the Inland Revenue to make an order or regulations under this Part, or under any other enactments relating to stamp duty land tax (including enactments passed after this Act), is exercisable by statutory instrument.

Subsection (1) does not apply in relation to the power conferred by—

Except as otherwise provided, a statutory instrument containing any order or regulations made by the Treasury or the Inland Revenue under this Part, or under any other enactments relating to stamp duty land tax (including enactments passed after this Act), shall be subject to annulment in pursuance of a resolution of the House of Commons.

Subsection (3) does not apply to a statutory instrument made under the power conferred by—section 61(3) (compliance with planning obligations: power to add to list of public authorities); paragraph 1(3) of Schedule 9 (right to buy transactions: power to add to list of relevant public sector bodies); paragraph 2(2) of Schedule 19 (commencement and transitional provisions: power to appoint implementation date).

The first set of regulations under section 58B (new zero-carbon homes) may not be made unless a draft has been laid before and approved by resolution of the House of Commons.

An order or regulations under this Part—

In this Part “residential property” means—