Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 section Schedule 5 paragraph 30

Children, settlements and bare trusts — attribution of interests to parents

Schedule 5 paragraph 30 provides that where a child would otherwise be treated as the buyer, holder or disposer of a dwelling interest under settlement or bare trust rules, that role is instead attributed to the child's parent (and their spouse or civil partner), with an exception for transactions carried out by a court-appointed deputy on behalf of a child who lacks mental capacity.

• Where settlement or bare trust rules would treat a child as the buyer, interest holder or disposer of a dwelling, that treatment is transferred to the child's parent and the parent's spouse or civil partner instead.
• The child is no longer treated as the buyer, holder or disposer for higher rates purposes once the attribution shifts to the parent.
• A separated spouse or civil partner of the parent is excluded from the attribution — they must be living together for it to apply.
• The attribution does not apply where a court-appointed deputy (under the Mental Capacity Act 2005 or equivalent foreign law) acts on behalf of a child and holds the interest on trust for the child.