Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 section Schedule 21A paragraph 8

Attributing consideration to qualifying land

Schedule 21A paragraph 8 sets out the rules for determining how much of the purchase price relates to qualifying land within a special tax site, including de minimis thresholds that simplify the calculation.

• The consideration attributable to qualifying land must be determined on a just and reasonable basis.
• Where at least 90% of the consideration for land in a special tax site relates to qualifying land, all of that consideration is treated as attributable to qualifying land.
• Where less than 10% of the consideration for land in a special tax site relates to qualifying land, none of that consideration is treated as attributable to qualifying land.
• These thresholds avoid complex apportionments where the qualifying and non-qualifying elements are heavily weighted to one side.