Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 section Schedule 4 paragraph 3

No discount for postponed consideration

Schedule 4 paragraph 3 establishes that the chargeable consideration for a land transaction must not be reduced to reflect any delay in the right to receive payment.

• The full amount or value of chargeable consideration is used for LTT purposes, regardless of when payment is actually received.
• No discount or reduction may be applied to reflect the fact that payment is deferred to a future date.
• This prevents taxpayers from reducing their LTT liability by arguing that consideration payable in the future is worth less in present-value terms.
• The rule applies whether the postponement affects the whole consideration or only part of it.