Land and Buildings Transaction Tax (Scotland) Act 2013 Schedule 19 para 30

Lease variations making a previously non-notifiable transaction notifiable

Schedule 19 paragraph 30 deals with what happens when a lease that originally did not need to be notified to Revenue Scotland becomes notifiable because of a subsequent variation to the lease terms.

• Where a lease was originally not notifiable, but is later varied to extend its term or increase the rent, and the effect of that variation is that the transaction would have been notifiable had the lease originally been on those revised terms, the tenant must submit a return.
• The return must be made within 30 days beginning the day after the date from which the variation takes effect, and must include a self-assessment of the tax chargeable.
• Any tax due is calculated using the tax rates and bands that were in force at the original effective date of the transaction, not the date of the variation.
• For the purposes of determining notifiability, the lease is treated as being for the extended term or the increased rent, as applicable.