SCHEDULE 4Relief for certain acquisitions of residential property

PART 6Interpretation

Meaning of “property trader” and “principal”

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(1)

A “property trader” means an entity listed in sub-paragraph (2) that carries on the business of buying and selling dwellings.

(2)

The entities are—

(a)

a company,

(b)

a limited liability partnership,

(c)

a partnership whose partners are all either companies or limited liability partnerships.

(3)

A “principal”—

(a)

in relation to a company, means a director,

(b)

in relation to a limited liability partnership, means a member,

(c)

in relation to a partnership mentioned in sub-paragraph (2)(c) means a partner or a principal of a partner.

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For the purposes of this schedule—

(a)

anything done by or in relation to a company connected with a property trader is treated as done by or in relation to that property trader, and

(b)

references to the principals or employees of a property trader include the principals or employees of any such company.