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

Linked transactions

Section 8 defines what counts as a linked transaction for the purposes of land transaction tax, which is important because linked transactions are aggregated to determine the correct tax rate and amount payable.

• A land transaction is linked if it forms part of a single scheme, arrangement, or series of transactions between the same parties.
• The parties do not need to be identical — transactions between connected persons also count as linked.
• Linking transactions together means their values are combined, which may push the total consideration into a higher tax band.
• An exception applies for exchanges of property, where the two sides of the exchange are not treated as linked transactions.