LBTT3010 - Tax Reliefs

There are a number of tax reliefs which provide whole or partial relief from LBTT. Any relief must be claimed in the first LBTT return made in relation to the transaction or in an amendment of that return, even if no tax is due (See our guidance on Rules regarding amendments). The quickest and easiest way to make the LBTT return is by completing and submitting it online.

Before making a claim for relief, buyers must satisfy themselves that the relief is due and that all the relevant conditions have been met. In order to claim a relief, the buyer should indicate that a relief is being claimed and complete the relevant section of the LBTT return, indicating which relief, or reliefs, is or are being claimed.

Any fraudulent arrangements concerning reliefs will be referred for criminal investigation and prosecution. Any artificial arrangements concerning reliefs are likely to fall foul of the Scottish General Anti-Avoidance Rule (see RSTP8001) even where the schedule for an individual relief does not contain a specific Targeted Anti-Avoidance Rule (TAAR).

Guidance on each relief, including the conditions and rules pertaining to each relief, is available as follows:

• Sale and leaseback relief – LBTT3011
• Relief where house building company buys home from a person who is buying a new home – LBTT3012
• Relief where property trader buys home from a person who is buying a new home – LBTT3013
• Relief where property trader buys home to avoid a chain of transactions breaking down – LBTT3014
• Multiple dwellings relief – LBTT3015
• Relief for certain acquisitions made by registered social landlords – LBTT3016

Alternative Property finance reliefs

• Alternative property finance relief – LBTT3017
• Alternative property finance relief involving a lease or sub-lease - LBTT3018
• Alternative property finance relief involving owners in common - LBTT3019
• Alternative property finance relief: land sold to financial institution and re-sold to a person - LBTT3020

Relief for Alternative finance investment bonds

• Relief for alternative finance investment bonds – LBTT3021
• Rules relating to relief for alternative finance investment bonds where one bond asset is substituted for another - LBTT3022
• Circumstances where alternative finance investment bond relief is not available when the bond-holder acquires control of underlying asset – LBTT3023

• Crofting community right to buy relief – LBTT3024

Group reliefs

• Group relief – LBTT3025
• Withdrawal of group relief – LBTT3026
• Circumstances where group relief is not withdrawn – LBTT3027
• Recovery of group relief where relief has been withdrawn or partially withdrawn - LBTT3028

Reconstruction and acquisition reliefs

• Reconstruction and acquisition relief – LBTT3029
• Reconstruction relief – LBTT3030
• Acquisition relief – LBTT3031
• Withdrawal of reconstruction and acquisition relief – LBTT3032
• Recovery of reconstruction or acquisition relief where relief has been withdrawn or partially withdrawn – LBTT3033

• Relief for incorporation of limited liability partnership – LBTT3034
• Charities relief – LBTT3035
• Friendly societies relief – LBTT3036
• Building societies relief – LBTT3037
• Relief for certain compulsory purchases – LBTT3038
• Relief for compliance with planning obligations – LBTT3039
• Public bodies relief – LBTT3040
• Visiting forces and international military headquarters reliefs – LBTT3041
• Relief for property accepted in satisfaction of tax – LBTT3042
• Lighthouses relief – LBTT3043
• Sub-sale development relief - LBTT3044
• Diplomatic Premises relief - LBTT3045
• Sovereign Bodies and International Organisations relief - LBTT3046
• Open-ended Investment Companies relief - LBTT3047
• First-time buyer relief - LBTT3048
• Green freeports relief - LBTT3049