Land and Buildings Transaction Tax (Scotland) Act 2013 Schedule 7 paragraph 12

Notification requirements for further transactions under alternative property finance

Paragraph 12 of Schedule 7 sets out when a further transaction under an alternative property finance arrangement needs to be notified to Revenue Scotland, even though it is exempt from LBTT.

• Further transactions that are exempt from LBTT under the alternative property finance rules (paragraph 10) are generally not notifiable to Revenue Scotland.
• The exception is where the further transaction transfers the person's entire remaining interest in the property back to them.
• A final transfer — being the transfer of whatever share of the property the financial institution still holds — must be notified even though no tax is due.
• This ensures Revenue Scotland is informed when the alternative finance arrangement has concluded and full ownership has returned to the individual.

---