Land and Buildings Transaction Tax (Scotland) Act 2013 section 35B

Persons liable for unpaid tax following group relief withdrawal

Section 35B identifies which persons can be required to pay unpaid LBTT when group relief is withdrawn from a land transaction, by serving a notice under the relevant provisions.

• When group relief is clawed back and tax remains unpaid, certain connected persons can be held liable for the outstanding amount.
• Any company that was in the same group as the acquiring company and sat above it in the group structure at any relevant time can be required to pay.
• Any person who was a controlling director of the acquiring company at any relevant time can also be required to pay.
• A controlling director of a company that had control of the acquiring company is equally liable to be served with a payment notice.