The Land and Buildings Transaction Tax (Additional Amount-Second Homes Main Residence Relief) (Scotland) Order 2017 No. 233

Citation and commencement

1.  This Order may be cited as the Land and Buildings Transaction Tax (Additional Amount-Second Homes Main Residence Relief) (Scotland) Order 2017 and comes into force on 30th June 2017.

Amendment of schedule 2A

2.  Part 5 of schedule 2A of the Land and Buildings Transaction Tax (Scotland) Act 2013 (repayment of and relief from the additional amount) is amended in accordance with articles 3 and 4.

Repayment of additional amount: spouses, civil partners and cohabitants replacing main residence

3.  After paragraph 8, insert—

“Repayment of additional amount: spouses, civil partners and cohabitants replacing main residence

8A.— (1) Sub-paragraph (2) applies in relation to a chargeable transaction to which this schedule applies by virtue of paragraph 2 if—

(a) there are only two buyers, and

(b) the buyers—

(i) are (in relation to each other) spouses, civil partners or cohabitants, and

(ii) are or will be jointly entitled to ownership of the dwelling that is or forms part of the subject-matter of the transaction.

(2) Paragraph 8 has effect in relation to the transaction as if—

(a) the reference in sub-paragraph (1)(a) of that paragraph to the buyer were a reference to either or both of the buyers, and

(b) the references in sub-paragraph (1)(b) and (c) of that paragraph to the buyer were references to both of the buyers together.

(3) For the purposes of sub-paragraph (1)(b)(i), two buyers are cohabitants if they live together as though married to one another.”.

Relief for replacement of main residence: spouses, civil partners and cohabitants

4.  After paragraph 9, insert—

“Relief for spouses, civil partners and cohabitants replacing main residence

9A.— (1) A chargeable transaction to which this schedule applies by virtue of paragraph 2 is exempt from the additional amount if—

(a) there are only two buyers,

(b) the buyers—

(i) are (in relation to each other) spouses, civil partners or cohabitants, and

(ii) are or will be jointly entitled to ownership of the dwelling that is or forms part of the subject-matter of the transaction, and

(c) paragraph 2(2) would apply if—

(i) the reference in paragraph (a) of that paragraph to the buyer were a reference to either of the buyers, and

(ii) the references in paragraphs (b) and (c) of that paragraph to the buyer were references to both of the buyers together.

(2) For the purposes of sub-paragraph (1)(b)(i), two buyers are cohabitants if they live together as though married to one another.”.

Transitional provision

5.  The amendments made by articles 3 and 4 apply only in relation to a chargeable transaction in respect of which—

(a) the contract is entered into on or after 20th May 2017; and

(b) the effective date is on or after 30th June 2017.

DEREK MACKAY

A member of the Scottish Government

St Andrew’s House,

Edinburgh

29th June 2017