Land and Buildings Transaction Tax (Scotland) Act 2013 section Schedule 2A paragraph 15

Treatment of long leases as ownership

Paragraph 15 of Schedule 2A establishes that tenants holding leases of more than 20 years on a dwelling are treated as owners of that dwelling for the purposes of the additional dwelling supplement.

• A tenant who holds a lease on a dwelling for a term exceeding 20 years is treated as the owner of that dwelling for ADS purposes.
• The landlord who grants such a long lease is correspondingly treated as not being the owner of the dwelling.
• All references to "ownership" and "acquisition of ownership" throughout Schedule 2A are adjusted to reflect this treatment.
• This provision ensures that long leaseholders are subject to the same ADS rules as outright property owners, preventing avoidance through the use of lengthy lease arrangements.