Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 section Schedule 18 paragraph 6

Partial charities relief for joint purchases as tenants in common

Schedule 18 paragraph 6 provides for partial relief from land transaction tax where a property is purchased jointly as tenants in common by a mix of qualifying charities and non-charities.

• Partial charities relief applies when two or more buyers acquire property as tenants in common and at least one buyer is a qualifying charity while at least one is not.
• The tax otherwise due on the transaction is reduced by a proportion reflecting the charity's involvement, but this relief can be withdrawn under paragraph 7.
• The relief amount is calculated as the "relevant proportion" of the tax that would have been chargeable ignoring full charities relief under paragraph 3.
• The "relevant proportion" is the lower of two figures: the charities' share of the property acquired and the charities' share of the purchase price paid.