Clawback of SDLT group relief
Clawback of SDLT group relief

The following Tax guidance note provides comprehensive and up to date legal information covering:

  • Clawback of SDLT group relief
  • Definitions
  • Clawback—purchaser leaves the SDLT group
  • Clawback—change in control of the purchaser after the vendor leaves the SDLT group
  • Clawback—change in control of the purchaser and successive transactions
  • Exceptions from clawback
  • Implications of clawback
  • No retained interest
  • Original interest retained
  • Interest derived from original interest retained
  • more

Exemption from SDLT can be claimed for land transactions between bodies corporate which are members of the same group for SDLT purposes at the effective date (generally, completion) of their intra-group land transaction. For more information, see Practice Notes:

  1. SDLT group relief, and

  2. SDLT—meaning of group

SDLT ceased to apply to any land transaction involving any interests in or over land in Scotland from 1 April 2015. From that date, land and buildings transaction tax (LBTT) applies to such transactions, subject to transitional provisions. Consequently, references in this Practice Note to 'UK land' or similar expressions in the context of the application of SDLT should be read to exclude any interests in or over land in Scotland from 1 April 2015. For further details, see the LBTT subtopic.

SDLT ceased to apply to any land transaction involving any interest in or over land in Wales from 1 April 2018. From that date, land transaction tax (LTT) applies to such transactions, subject to transitional provisions. Consequently, references in this Practice Note to 'UK land' or similar expressions in the context of the application of SDLT should be read to exclude any interests in or over land in Wales from 1 April 2018. For further details, see the Wales: LTT subtopic.

Even if a transaction legitimately qualifies for relief, certain post-transaction events may result in the