Land and Buildings Transaction Tax (Scotland) Act 2013 Schedule 10 paragraph 15

Conditions for group relief withdrawal

Paragraph 15 of Schedule 10 sets out the conditions under which group relief from LBTT may be withdrawn when the buyer leaves the same corporate group as the seller.

• Group relief withdrawal is triggered when the buyer ceases to be a member of the same corporate group as the seller — this moment is referred to as "the relevant time".
• At the relevant time, the buyer (or a relevant associated company) must still hold either the chargeable interest originally acquired under the group transaction, or a chargeable interest derived from it.
• If the interest has subsequently been acquired at market value in a chargeable transaction where group relief was available but deliberately not claimed, this paragraph does not apply.
• In practical terms, group relief clawback only arises where the property (or an interest derived from it) is still held within the departing buyer's ownership at the point the group relationship ends.