Taking Forward a Scottish Land and Buildings Transaction Tax Consultation: An Analysis of Responses

ANNEX TWO - EXEMPTIONS

Exemptions

The consultation sought views on the proposed transaction categories that should be exempt from a Land and Buildings Transaction Tax. The Scottish Government proposes to provide the following exemptions, which already exist under SDLT:

• Transfers of property on divorce, separation or the end of a civil partnership.
• Property transactions where no money or other contribution that has a monetary value changes hands.
• Land or property which is transferred under succession in law when the previous owner dies.
• Social tenancies granted by Registered Social Landlords.
• Where the purchaser is the Scottish Government, the Scottish Parliamentary Corporate Body or another designated Crown organisation.
• Transfers of land and property where the purchase price or lease value is less than £40,000.

In line with the current SDLT approach, the Government proposes that Scottish Ministers should be able, through regulations to add further exemptions to this list, subject to Parliamentary approval. The Scottish Government would consult on any proposals to amend the list in future.