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

8 (1) This paragraph applies where— E+W

(a) a charity (““C””) is one of two or more buyers acquiring the subject-matter of a land transaction as tenants in common,

(b) C is not a qualifying charity,

(c) paragraph 6(2) to (4) would apply if C were a qualifying charity, and

(d) C intends to hold the greater part of its undivided share of the subject-matter of the transaction for qualifying charitable purposes.

(2) In such a case—

(a) paragraphs 6 and 7 have effect as if C were a qualifying charity, but

(b) for the purposes of paragraph 7 “"disqualifying event”” includes the following if they are made otherwise than in furtherance of C's charitable purposes—

(i) any transfer by C of a major interest in the whole or any part of the subject-matter of the relieved transaction;

(ii) any grant by C at a premium of a low-rental lease of the whole or any part of that subject-matter.

(3) In relation to a transfer or a grant that, by virtue of sub-paragraph (2)(b), is a disqualifying event for the purposes of paragraph 7—

(a) the date of the event for those purposes is the effective date of the relieved transaction, and

(b) paragraph 7 has effect with the modifications in sub-paragraph (4).

(4) The modifications to paragraph 7 are—

(a) sub-paragraph (4) is to have effect as if for ““At the time of”” there were substituted “ Immediately before ”;

(b) sub-paragraph (9)(a) is to have effect as if for ““at the time of”” there were substituted “ immediately before and immediately after ”;

(c) sub-paragraph (9) is to have effect as if paragraph (b) were omitted.

(5) For the purposes of this paragraph—

(a) a lease is granted ““at a premium”” if there is consideration other than rent, and

(b) a lease is a ““low-rental”” lease if the annual rent (if any) is less than £1,000 a year.

(6) In this paragraph—

(a) “"annual rent”” has the meaning given by paragraph 36(2) of Schedule 6, and

(b) “"rent”” has the same meaning as in that Schedule.

Commencement Information

I1 Sch. 18 para. 8 in force at 1.4.2018 by S.I. 2018/34, art. 3