SCHEDULEAMENDMENTS TO SCHEDULE 5 TO THE FINANCE ACT 2003

Rent and other consideration: treatment of linked transactions2

1

Paragraph 9 (tax chargeable in respect of consideration other than rent) is amended as follows.

2

In sub-paragraph (2) (exclusion of 0% band for other consideration if annual rent exceeds £600 a year), for “annual rent” substitute “relevant rental figure”.

3

After that sub-paragraph insert—

2A

For the purposes of sub-paragraph (2) the relevant rental figure is—

a

the annual rent in relation to the transaction in question, or

b

if that transaction is one of a number of linked transactions for which the chargeable consideration consists of or includes rent, the total of the annual rents in relation to all those transactions.

4

In sub-paragraph (3) (meaning of “annual rent”) for “For the purposes of sub-paragraph (2)” substitute “In sub-paragraph (2A)”.