B6.766 ATED—land sold to financial institution and leased to person
This articles covers the ATED treatment of an SDI which is the subject of certain alternative finance arrangements (eg, 'Ijara' mortgages) involving the sale of the interest to a financial institution and the grant of a lease over it to a person. In effect, the alternative property finance arrangements are ignored and the lessee is treated as owning the interest in the dwelling outright for the purposes of the ATED charge.
As a result of the devolution of land transaction taxes in Scotland and Wales, there are separate provisions for land in Scotland or Wales, although the effect is the same as for land elsewhere in the UK.
Land in England or Northern Ireland
The special treatment applies to1:
- Ìý
•ÌýÌýÌýÌý alternative property finance arrangements to which SDLT provisions in FA 20032 apply
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•ÌýÌýÌýÌý entered into between a financial institution and another person ('the lessee')
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•ÌýÌýÌýÌý where the land in which the institution purchases a major
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Web page updated on 17 Mar 2025 16:41