Land and Buildings Transaction Tax (Scotland) Act 2013 section 26

Change of control of the other company within three years

Section 26 sets out when the clawback of group relief or reconstruction/acquisition relief applies, by reference to a change of control of the other company involved in the relevant transaction.

• This provision applies where control of the other company (referred to in the relief conditions) changes within a specified time limit.
• The time limit is three years from the effective date of the land transaction that benefited from relief.
• The provision also catches changes of control that occur after the three-year period, if they were made under arrangements put in place before the end of that period.
• The effect is that relief previously claimed may be withdrawn, triggering a liability to pay the tax that was originally relieved.