Land and Buildings Transaction Tax (Scotland) Act 2013 section Schedule 19 paragraph 23

Successive linked leases treated as a single lease

Schedule 19 paragraph 23 explains how LBTT treats a series of successive linked leases of the same (or substantially the same) premises as if they were one single lease.

• Where successive leases of the same or substantially the same premises are granted and those grants are linked transactions, they are treated as a single lease for LBTT purposes.
• The single combined lease is treated as having been granted at the time the first lease in the series was granted.
• The term of the combined lease equals the total of all the individual lease terms added together, and the rent is the total rent payable under all the leases in the series.
• The grants of the later leases in the series are disregarded for LBTT purposes, except that a return or further return must still be submitted when a later linked transaction occurs.