SCHEDULES

SCHEDULE 10Stamp duty land tax: miscellaneous amendments

Part 1Amendments coming into force in accordance with paragraph 16

Reconstruction and acquisition reliefs

8

In paragraph 8 of Schedule 7 (acquisition relief)—

(a)

in sub-paragraph (1)(b) for “the first and second conditions” substitute “ all the conditions ”, and

(b)

after sub-paragraph (5) insert—

“(5A)

The third condition is that the undertaking or part acquired by the acquiring company has as its main activity the carrying on of a trade that does not consist wholly or mainly of dealing in chargeable interests.

In this sub-paragraph “trade” has the same meaning as in the Taxes Act 1988.”

9

In paragraph 9 of Schedule 7 (withdrawal of reconstruction or acquisition relief) for sub-paragraph (2) substitute—

“(2)

The amount chargeable is the tax that would have been chargeable in respect of the relevant transaction but for reconstruction or acquisition relief if the chargeable consideration for that transaction had been an amount equal to—

(a)

the market value of the subject-matter of the transaction, and

(b)

if the acquisition was the grant of a lease at a rent, that rent,

or, as the case may be, an appropriate proportion of the tax that would have been so chargeable.”