Finance Act 1999

Rates of duty

11 In the case of a lease for a definite term less than a year the duty is as follows—

1.	Lease of furnished dwelling-house or apartments where the rent for the term exceeds £500	£5
2.	Any other lease of land	The same duty as for a lease for a year at the rent reserved for the definite term

12 (1) In the case of a lease of land for any other definite term, or for an indefinite term, the duty is determined as follows.

(2) If the consideration or part of the consideration moving to the lessor or to any other person consists of any money, stock, security or other property, the duty in respect of that consideration is the same as that on a conveyance on a sale for the same consideration.

• But if—

  (a)

  part of the consideration is rent, and

  (b)

  that rent exceeds £600 a year,

  the duty is calculated as if paragraph 1 of the Table in paragraph 4 of this Schedule were omitted.

(3) If the consideration or part of the consideration is rent, the duty in respect of that consideration is determined by reference to the rate or average rate of the rent (whether reserved as a yearly rent or not), as follows.

1.	Term less than 7 years or indefinite—
(a) if the rent is £500 or less	Nil
(a) if the rent is more than £500	1%
2.	Term more than 7 years but not more than 35 years	2%
3.	Term more than 35 years but not more than 100 years	12%
4.	Term more than 100 years	24%

13 Stamp duty of £5 is chargeable on a lease not within paragraph 11 or 12 above.