Land and Buildings Transaction Tax (Scotland) Act 2013 section Schedule 5 paragraph 11

Minimum tax amount for multiple dwellings relief

Schedule 5 paragraph 11 provides a floor (minimum prescribed amount) for the tax calculated under multiple dwellings relief, ensuring the tax charged cannot fall below a specified minimum level.

• Where the dwellings-only tax calculation produces a figure below the minimum prescribed amount, a different formula applies
• The tax chargeable is the sum of the minimum prescribed amount (MPA) plus the tax due on any remaining (non-dwelling) property (RT)
• This prevents taxpayers from achieving an unrealistically low tax charge by averaging across a large number of low-value dwellings
• The minimum prescribed amount acts as a floor, replacing the normal multiple dwellings relief calculation when that calculation would produce a lower figure