HMRC has published new guidance on how to claim relief from SDLT when buying land or buildings in a designated freeport tax site. Relief can be claimed where the land or buildings will be used in a ‘qualifying way’, as follows:
in a commercial trade or profession;
for development or redevelopment for resale for commercial purposes; or
where the land or buildings are let to another person who pays rent – as long as they are not used as residential property.
Relief is not available for land and buildings which are to be:
used as residential property;
developed or redeveloped to become residential property; or
held as stock of the business to be resold without having been developed or redeveloped.
Full relief can be claimed on the total purchase price if at least 90% of the purchase price is for qualifying land or buildings. Where less than 90% relates to qualifying land or buildings, relief reflects the percentage of the land or buildings which qualify. No relief is available if less than 10% of the total purchase price is for qualifying land or buildings.
Relief can be claimed from the date a freeport tax site is designated until 30 September 2026 and all claims must be made by 14 October 2027.
HMRC has published new guidance on how to claim relief from SDLT when buying land or buildings in a designated freeport tax site. Relief can be claimed where the land or buildings will be used in a ‘qualifying way’, as follows:
in a commercial trade or profession;
for development or redevelopment for resale for commercial purposes; or
where the land or buildings are let to another person who pays rent – as long as they are not used as residential property.
Relief is not available for land and buildings which are to be:
used as residential property;
developed or redeveloped to become residential property; or
held as stock of the business to be resold without having been developed or redeveloped.
Full relief can be claimed on the total purchase price if at least 90% of the purchase price is for qualifying land or buildings. Where less than 90% relates to qualifying land or buildings, relief reflects the percentage of the land or buildings which qualify. No relief is available if less than 10% of the total purchase price is for qualifying land or buildings.
Relief can be claimed from the date a freeport tax site is designated until 30 September 2026 and all claims must be made by 14 October 2027.
