Land and Buildings Transaction Tax (Scotland) Act 2013 section Schedule 17 paragraph 47

Transfer of a chargeable interest from a partnership

Paragraph 47 of Schedule 17 defines what counts as a transfer of a chargeable interest out of a partnership for the purposes of this schedule.

• A transfer from a partnership occurs when a chargeable interest stops being partnership property or when a new interest is created from partnership property but is not itself partnership property.
• A chargeable interest that was held as partnership property ceasing to be partnership property is treated as a transfer from the partnership.
• The creation of a new chargeable interest derived from partnership property, where that new interest does not remain as partnership property, is also treated as a transfer from the partnership.
• This definition is important because transfers from a partnership can trigger LBTT charges and are subject to specific rules elsewhere in Schedule 17.