522. VAT and stamp duty land tax on surrenders.

Subject to certain exceptions1, the grant of any interest in or right over land2 or of any licence to occupy3 land is an exempt supply for the purposes of VAT4. A 'grant' includes an assignment or surrender and the supply made by the person to whom an interest is surrendered when there is a reverse surrender5. The supply made by a landlord in accepting the surrender of his tenant's lease in return for a payment made by the tenant is also normally exempt6.

For the purposes of stamp duty land tax