[F157ASale and leaseback arrangementsU.K.
(1)The leaseback element of a sale and leaseback arrangement is exempt from charge if the qualifying conditions specified below are met.
(2)A “sale and leaseback”arrangement means an arrangement under which—
(a)A transfers or grants to B a major interest in land (the “sale”), and
(b)out of that interest B grants a lease to A (the “leaseback”).
(3)The qualifying conditions are—
(a)that the sale transaction is entered into wholly or partly in consideration of the leaseback transaction being entered into,
[F2(aa)that the sale transaction is entered into wholly or partly in consideration of the leaseback transaction being entered into,
(b)that the only other consideration (if any) for the sale is the payment of money or the assumption, satisfaction or release of a debt (or both),]
(c)that the sale is not a transfer of rights within the meaning of section 45 (contract and conveyance: effect of transfer of rights) or 45A (contract providing for conveyance to third party: effect of transfer of rights), and
(d)where A and B are both bodies corporate at the effective date of the leaseback transaction, that they are not members of the same group for the purposes of group relief (see paragraph 1 of Schedule 7) at that date.
[F3(e)where A and B are both bodies corporate at the effective date of the leaseback transaction, that they are not members of the same group for the purposes of group relief (see paragraph 1 of Schedule 7) at that date.]
F4(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F1S. 57A inserted (with effect in accordance with Sch. 39 para. 26 of the amending Act) by Finance Act 2004 (c. 12), Sch. 39 para. 16 (which amending provision re-enacts, subject to certain changes, a corresponding amendment made by the now revoked Stamp Duty and Stamp Duty Land Tax (Variation of the Finance Act 2003) (No. 2) Regulations 2003 (S.I. 2003/2816), see Sch. 39 para. 14)
F2S. 57A(3)(aa)(b) substituted for s. 57A(3)(b) (with effect in accordance with Sch. 39 para. 13(3)-(6) of the amending Act) by Finance Act 2004 (c. 12), Sch. 39 para. 6(2)
F3S. 57A(3)(e) inserted (with effect in accordance with Sch. 39 para. 13(3)-(6) of the amending Act) by Finance Act 2004 (c. 12), Sch. 39 para. 6(3)
F4S. 57A(4) omitted (with effect in accordance with Sch. 39 para. 13(3)-(6) of the amending Act) by virtue of Finance Act 2004 (c. 12), Sch. 39 para. 6(4)