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

[F1 PART 2 E+W The Relief

Textual Amendments

F1 Sch. 21A inserted (26.11.2024) by The Land Transaction Tax (Relief for Special Tax Sites) (Wales) Regulations 2024 (S.I. 2024/1193), regs. 1(2), 2(5)

Meaning of relief period E+W

5. E+W In this Part, the “relief period” means

[F2 (a)] [F3 in so far as the reference relates to the special tax site mentioned in paragraph 2(a),] the period beginning with 26 November 2024 and ending with 30 September 2029;

[F4 (b) in so far as the reference relates to the special tax site mentioned in paragraph 2(b), the period beginning with 23 January 2025 and ending with 30 September 2029.]

Textual Amendments

F2 Words in Sch. 21A para. 5 renumbered as Sch. 21A para. 5(a) (23.1.2025) by The Land Transaction Tax (Modification of Special Tax Sites Relief) (Wales) Regulations 2025 (S.I. 2025/54), regs. 1(2), 2(3)(a)

F3 Words in Sch. 21A para. 5(a) inserted (23.1.2025) by The Land Transaction Tax (Modification of Special Tax Sites Relief) (Wales) Regulations 2025 (S.I. 2025/54), regs. 1(2), 2(3)(b)

F4 Sch. 21A para. 5(b) inserted (23.1.2025) by The Land Transaction Tax (Modification of Special Tax Sites Relief) (Wales) Regulations 2025 (S.I. 2025/54), regs. 1(2), 2(3)(c)

Full relief E+W

6. (1) This paragraph applies if— E+W

(a) 100% of the chargeable consideration for a land transaction is attributable to qualifying land, and

(b) the effective date of the transaction is within the relief period.

(2) The land transaction is relieved from tax.

Partial relief E+W

7. (1) This paragraph applies if— E+W

(a) the proportion of the chargeable consideration for a land transaction attributable to qualifying land (“the relevant proportion”) is less than 100%, and

(b) the effective date of the transaction is within the relief period.

(2) The tax chargeable in respect of the land transaction is reduced by a proportion equivalent to the relevant proportion.

Attributing chargeable consideration to land E+W

8. (1) For the purposes of this Schedule, the consideration attributable to qualifying land must be determined on a just and reasonable basis. E+W

(2) Sub-paragraphs (3) and (4) apply if less than 100% of the chargeable consideration attributable to transaction land situated in a special tax site (“the tax site consideration”) is attributable to land that satisfies the condition in paragraph 3(b).

(3) If at least 90% of the tax site consideration is attributable to land that satisfies the condition in paragraph 3(b), then, for the purposes of this Schedule, all of the tax site consideration is to be treated as being attributable to qualifying land.

(4) If less than 10% of the tax site consideration is attributable to land that satisfies the condition in paragraph 3(b), then, for the purposes of this Schedule, all of the tax site consideration is to be treated as not being attributable to qualifying land.

Contract completed by transfer after the end of the relief period E+W

9. (1) This paragraph applies if— E+W

(a) a land transaction is treated as effected under section 10(4) as a result of a contract being substantially performed without having been completed,

(b) that transaction is relieved from tax under paragraph 6 or 7, and

(c) the contract mentioned in paragraph (a) is subsequently completed by a transfer after the end of the relief period.

(2) Section 10(5)(b) does not apply in relation to the transaction mentioned in sub-paragraph (1)(c) if the sole reason that it would have applied (but for this paragraph) is that the transaction occurred after the end of the relief period.

(3) In this paragraph, “completed”, “contract” and “transfer” are to be interpreted in accordance with section 10(10).]