SCHEDULES
C1C2F1SCHEDULE 4ZAStamp duty land tax: higher rates for additional dwellings and dwellings purchased by companies
Sch. 4ZA modified (temp.) (22.7.2020) by Stamp Duty Land Tax (Temporary Relief) Act 2020 (c. 15), s. 1 (as amended 10.6.2021) by 2021 c. 26, s. 87(2))
Sch. 4ZA modified (temp.) (8.2.2023) by Stamp Duty Land Tax (Temporary Relief) Act 2023 (c. 2), s. 1
PART 2Meaning of “higher rates transaction”
Multiple dwelling transactions
5
1
A chargeable transaction falls within this paragraph if—
a
the purchaser is an individual,
b
the main subject-matter of the transaction consists of a major interest in two or more dwellings (“the purchased dwellings”), and
c
at least two of the purchased dwellings meet conditions A, B and C.
2
A purchased dwelling meets condition A if the amount of the chargeable consideration for the transaction which is attributable on a just and reasonable basis to the purchased dwelling is £40,000 or more.
3
A purchased dwelling meets condition B if on the effective date of the transaction the purchased dwelling—
a
is not subject to a lease upon which the main subject-matter of the transaction is reversionary, or
b
is subject to such a lease but the lease has an unexpired term of no more than 21 years.
4
A purchased dwelling meets condition C if it is not subsidiary to any of the other purchased dwellings.
5
One of the purchased dwellings (“dwelling A”) is subsidiary to another of the purchased dwellings (“dwelling B”) if—
a
dwelling A is situated within the grounds of, or within the same building as, dwelling B, and
b
the amount of the chargeable consideration for the transaction which is attributable on a just and reasonable basis to dwelling B is equal to, or greater than, two thirds of the amount of the chargeable consideration for the transaction which is attributable on a just and reasonable basis to the following combined—
i
dwelling A,
ii
dwelling B, and
iii
each of the other purchased dwellings (if any) which are situated within the grounds of, or within the same building as, dwelling B.
6
1
A chargeable transaction falls within this paragraph if—
a
the purchaser is an individual,
b
the main subject-matter of the transaction consists of a major interest in two or more dwellings (“the purchased dwellings”),
c
only one of the purchased dwellings meets conditions A, B and C,
d
the purchased dwelling which meets those conditions is not a replacement for the purchaser's only or main residence, and
e
at the end of the day that is the effective date of the transaction—
i
the purchaser has a major interest in a dwelling other than one of the purchased dwellings,
ii
that interest has a market value of £40,000 or more, and
iii
that interest is not reversionary on a lease which has an unexpired term of more than 21 years.
F21A
But sub-paragraph (1) is subject to paragraph 7A.
2
Sub-paragraphs (2) to (5) of paragraph 5 apply for the purposes of sub-paragraph (1)(c) of this paragraph as they apply for the purposes of sub-paragraph (1)(c) of that paragraph.
3
Sub-paragraphs (6) F3to (8) of paragraph 3 apply for the purposes of sub-paragraph (1)(d) of this paragraph as they apply for the purposes of sub-paragraph (5) of that paragraph.
7
1
A chargeable transaction falls within this paragraph if—
a
the purchaser is not an individual,
b
the main subject-matter of the transaction consists of a major interest in two or more dwellings (“the purchased dwellings”), and
c
at least one of the purchased dwellings meets conditions A and B.
2
Sub-paragraphs (2) and (3) of paragraph 5 apply for the purposes of sub-paragraph (1)(c) of this paragraph as they apply for the purposes of sub-paragraph (1)(c) of that paragraph.
Sch. 4ZA inserted (with effect in accordance with s. 128(5)(6) of the amending Act) by Finance Act 2016 (c. 24), s. 128(3) (with s. 128(9)(10))