Likewise, fees for entry to or registration at an auction that permit the buyer to participate in the auction are unlikely to be part of the chargeable consideration given for the land transaction. It is the buyer’s liability and the land transaction is highly unlikely to be dependent upon payment of that finder’s fee. For example, money paid for a finder’s fee is a liability of the buyer not the seller and its payment is therefore not at the direction of the seller. Where fees are paid not at the direction of the seller, or are not conditional upon the transaction occurring then they are not likely to be part of the chargeable consideration. Where such fees are paid by the buyer they, together with any VAT charged on the fees, will be chargeable consideration. Examples of such fees might include the seller’s estate agent, legal, tender, introductory fees or the commission paid to an auction house for the sale of the property. It will include monies provided to the seller and also money provided by the buyer to other persons at the direction of the seller, where that is a condition of entering into the land transaction.įor example, fees for which the seller may be liable but which are to be paid by the buyer as part of the consideration for the subject-matter of the land transaction, are chargeable consideration.
Money is easily understood and represents the amount of cash provided as consideration for the transaction, be that by cheque payment, electronic transfer etc. Any heavy plant or machinery that is integral to the property would be considered a fixture. In a commercial situation, any plant or machinery that can be easily removed from the property would not be considered a fixture.
The apportioned amount may differ from the price agreed between the buyer and seller. gas and electric fires (if they can be disconnected from the power supply without damaging the property)Īn apportionment must be made on a just and reasonable basis for those items which are not considered to be fixtures or fittings.kitchen white goods (unless fully integrated).fitted kitchen units, cupboards and sinks (excluding white goods)Īlternatively, the following items would not normally be considered fixtures, and so would not normally be subject to LTT.If an item is annexed to the property, it is subject to LTT, as it is considered a fixture or part of the land. LTTA/2470 Buyer is connected company – exceptions to deemed market value rule.LTTA/2460 Buyer is connected company – deemed market value rule.LTTA/2440 Contingent, uncertain or unascertained consideration.LTTA/2430f Arrangements involving public or educational bodies.LTTA/2430e Costs and compensation arising under a compulsory purchase.LTTA/2430c Buyer bearing capital gains tax liability.LTTA/2430b Buyer bearing inheritance tax liability.
LTTA/2420 Cases where conditions for land transaction to be exempt not fully met.LTTA/2410 Land transaction entered into by reason of employment.LTTA/2370 Purchase of land with associated works to be carried out.LTTA/2360 Partitions – disregard of existing interest.LTTA/2330 Just and reasonable apportionment.LTTA/2320 Postponed consideration and consideration paid by instalments.LTTA/2290 Valuation of non-monetary consideration.LTTA/2280 Conversion of amounts of foreign currency.