- This topic has 1 reply, 1 voice, and was last updated 20th January 2006 at 11:06 am by
.
Viewing 2 posts - 1 through 2 (of 2 total)
-
Posts
-
How do you calculate SDLT when there are linked transactions involving both freehold and leasehold interests?
For example consider the transfer of non-residential properties:
Freehold value – ?100,000
Leasehold value (NBV of rent) – ?80,000
The combined value is ?180,000. Using the rules for freehold would give SDLT at 1% on the whole ?180,000, but the leasehold rules only charge 1% on the excess over ?150,000. How do they interact?No account is taken of the rent when calculating the consideration for the freehold – see para 9(5) Schedule 5 FA 2003. However, the 0% band is not available for the freehold consideration – see para 9(2A).
Viewing 2 posts - 1 through 2 (of 2 total)
