Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 Schedule 18 paragraph 2

Qualifying charity and qualifying charitable purposes

Schedule 18 paragraph 2 defines when a charity counts as a "qualifying charity" for land transaction tax relief purposes, what "qualifying charitable purposes" means, and what events cause the charity to lose its relief.

• A charity buying land is a "qualifying charity" for full relief if it intends to hold the entire property for qualifying charitable purposes, or for partial relief if it intends to hold the whole of its share of the property for qualifying charitable purposes.
• A charity holds property for "qualifying charitable purposes" if it uses the property to further its own or another charity's charitable purposes, or holds it as an investment whose profits are applied to its charitable purposes.
• "Charitable purpose" takes its meaning from section 2 of the Charities Act 2011, and "charity" is defined separately in paragraph 2A of Schedule 18.
• A "disqualifying event" occurs — potentially triggering withdrawal of the relief — if the charity ceases to be established exclusively for charitable purposes, or if any part of the relieved property (or any interest derived from it) is used or held other than for qualifying charitable purposes.