Land and Buildings Transaction Tax (Scotland) Act 2013 Schedule 12 paragraph 2

Qualifying conditions for transfer of chargeable interest to a limited liability partnership

Schedule 12 paragraph 2 sets out the qualifying conditions that must be met for LBTT relief when a chargeable interest (such as land or buildings) is transferred to a limited liability partnership (LLP).

• The transfer must take place within one year of the LLP's incorporation date.
• The person transferring the interest must be either a partner in a partnership, or hold the interest as a nominee or bare trustee for one or more partners in a partnership.
• At the relevant time, the partnership must consist of exactly the same persons who are, or are to become, members of the LLP — no more and no fewer.
• After the transfer, each person's share of the interest must remain the same as before, unless any change in proportions was not part of a scheme or arrangement designed mainly to avoid LBTT.