after sub-paragraph (7) insert—

“(7A)

For the purposes of sub-paragraph (7)(b), the permitted periods are—

(a)

the period of three years beginning with the day after the effective date of the transaction concerned, or

(b)

if HMRC are satisfied that the purchaser or the purchaser's spouse or civil partner would have disposed of the major interest in the sold dwelling within that three year period but was prevented from doing so by exceptional circumstances that could not reasonably have been foreseen, such longer period as HMRC may allow in response to an application made in accordance with sub-paragraph (7B).

(7B)

An application for the purposes of sub-paragraph (7A)(b) must—

(a)

be made within the period of 12 months beginning with the effective date of the transaction disposing of the major interest in the sold dwelling, and

(b)

be made in such form and manner, and contain such information, as may be specified by HMRC.

(7C)

Schedule 11A (claims not included in returns) does not apply in relation to an application made in accordance with sub-paragraph (7B).”

after sub-paragraph (4) insert—

“(5)

Where HMRC grant an application made in accordance with paragraph 3(7B)—

(a)

the land transaction return in respect of the transaction concerned is treated as having been amended to take account of the application of paragraph 3(7) by virtue of paragraph 3(7A)(b), and

(b)

HMRC must notify the purchaser accordingly.”