Devolved tax legislation implemented in April 2015 means that some tenants in Scotland must, by law, submit a new tax return to Revenue Scotland every three years to ensure they have paid the correct amount of Lands and Buildings Transaction Tax. The first time a three year lease review return became due was therefore 2018.
A return has to be submitted:
- every three years from the effective date of the lease
- at the point where the lease is assigned
- at the point where the lease is terminated
It is the responsibility of the tenant to submit the return, even if the lease has not changed or if no tax is due. Failure to do so will result in a penalty.
For further information please visit the Revenue Scotland website.