LBTT6016 - The lease review date

LBTT guidance on defining the three yearly review date for a land transaction involving a lease.

The date of the review of the tax chargeable may differ, depending on the circumstances:

  • where the tenant made an LBTT return when the lease was granted, the review date is the day of the third anniversary of the effective date of the transaction, and on each subsequent third anniversary of that date;
  • where the first LBTT return for the lease was made because of the effect of the rules about contingent, uncertain or unascertained consideration, the review date is the third anniversary of the event in relation to the contingent, uncertain or unascertained consideration that triggered the first return;
  • where the first LBTT return for the lease was made because the lease continued beyond its fixed term and as a result became notifiable, the review date is  the third anniversary of the end of the one year period after the end of the fixed term of the lease, and on each subsequent third anniversary of that date;
  • where the first LBTT return for a lease with an indefinite term was made because the lease continued after the end of a deemed fixed term and as a result became notifiable, the review date is the third anniversary of the date on which the deemed fixed term ended, and on each subsequent third anniversary of that date; and
  • where the first LBTT return has been made for a lease that became notifiable as a result of an extension to the term or an increase in the rent, the review date is the third anniversary of the date of the variation that made the lease notifiable, and on each subsequent third anniversary of that date.

LBTT(S)A 2013 schedule 19 paragraph 10

Note: The date on which the relevant occurs is the ‘relevant date’ for the purposes of the ‘relevant date’ field in the LBTT return.

Ref ID: 
LBTT6016
Archive Date: 
9 March 2015
Last updated: 
9 March 2015
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