F1SCHEDULE 4AStamp duty land tax: higher rate for certain transactions
F2Businesses of letting, trading in or redeveloping properties
5
(1)
Paragraph 3 does not apply to a chargeable transaction so far as its subject-matter consists of a higher threshold interest that is acquired exclusively for one or more of the following purposes—
(a)
exploitation as a source of rents or other receipts (other than excluded rents) in the course of a qualifying property rental business;
(b)
development or redevelopment and resale in the course of a property development trade;
(c)
resale in the course of a property development trade (in a case where the chargeable transaction is part of a qualifying exchange);
(d)
resale (as stock of the business) in the course of a property trading business.
(2)
A chargeable interest does not count as being acquired exclusively for one or more of those purposes if it is intended that a non-qualifying individual will be permitted to occupy the dwelling.
(3)
In this paragraph—
“excluded rents” has the same meaning as in section 133 of the Finance Act 2013;
“property development trade” means a trade that—
(a)
consists of or includes buying and developing or redeveloping for resale residential or non-residential property, and
(b)
is run on a commercial basis and with a view to profit;
“part of a qualifying exchange” is to be construed in accordance with section 139(4) of the Finance Act 2013;
“property trading business” means a business that—
(a)
consists of or includes activities in the nature of a trade of buying and selling dwellings, and
(b)
is run on a commercial basis and with a view to profit;
“qualifying property rental business” has the same meaning as in section 133 of the Finance Act 2013.