LBTT8001 – Trusts

Chapter 8 of the LBTT legislation guidance covering trusts, including bare trusts and settlements.

This chapter of guidance mainly relates to the provisions contained in schedule 18 to the LBTT(S)A 2013 and sets out the responsibilities of trustees and how LBTT applies in relation to interests in trusts and to the acquisition of a chargeable interest through the exercise of a power of appointment or discretion.

LBTT(S)A 2013 section 50

The responsibilities of the trustee and beneficiaries in LBTT depend on the kind of trust in which the land is held.

If the trust property includes land in Scotland, the acquisition of a beneficiary’s interest in the trust is the acquisition of a chargeable interest and constitutes a land transaction for LBTT purposes.

LBTT(S)A 2013 schedule 18 paragraph 4

There are two basic types of trust for the purposes of LBTT:

Bare trusts and LBTT.

Settlements and LBTT.