Land Transaction Tax and Anti-avoidance of Devolved Taxes (Wales) Act 2017 section 24

Regulations specifying tax bands and tax rates

Section 24 requires the Welsh Ministers to set out, by regulations, the tax bands and percentage tax rates that apply to different types of land transactions in Wales.

• The Welsh Ministers must specify tax bands and rates for three categories: residential property transactions, higher rates residential property transactions, and non-residential property transactions.
• For residential and non-residential transactions, there must be a zero rate band plus at least two further bands, with rates increasing progressively at each higher band.
• For higher rates residential transactions (such as additional properties), there must be at least three bands, and the rate for every band must exceed the rate that would apply to the same band under ordinary residential rates.
• These tax bands and rates apply only to consideration other than rent; separate rules in Schedule 6 govern how rent is taxed.