C1SCHEDULE 5HIGHER RATES RESIDENTIAL PROPERTY TRANSACTIONS

Annotations:
Modifications etc. (not altering text)

C1PART 4BUYER IS NOT AN INDIVIDUAL

Transaction involving multiple dwellings

I1C121

1

A chargeable transaction is a higher rates residential property transaction if—

a

the buyer is not an individual,

b

the main subject-matter of the transaction consists of a major interest in two or more dwellings (““the purchased dwellings””), and

c

at least one of the purchased dwellings is a dwelling to which sub-paragraph (2) applies.

2

This sub-paragraph applies to a purchased dwelling if the amount of the chargeable consideration for the transaction which is attributable on a just and reasonable basis to the purchased dwelling is £40,000 or more.

3

But sub-paragraph (2) does not apply to a purchased dwelling if at the end of the day that is the effective date of the transaction—

a

the purchased dwelling is subject to a lease,

b

the main subject-matter of the transaction is reversionary on that lease, and

c

the lease meets the conditions set out in sub-paragraph (4).

4

The conditions are that—

a

the lease is not held by a person connected with the buyer, and

b

the lease has an unexpired term of more than 21 years.

5

A transaction within section 72(9) is not a higher rates residential property transaction save where Schedule 13 applies (see in particular paragraph 6(6) of that Schedule).