SDLTM00330 - Scope: What is chargeable: Land transactions: Is notification required?

By virtue of FA03/S77 & S77A a transaction other than the grant, surrender or assignment of a leases where the total consideration is less than £40,000 is not notifiable.

The grant of a lease is not notifiable if

• the term of the lease is less than seven years
• there is no tax to pay on either the premium or the rental element
• no relief or exemption is being claimed.

The grant of a lease of seven years or more is not notifiable if any chargeable consideration other than rent is less than £40,000 and the ‘relevant rent’ (normally equivalent to the annual rent) is less than £1,000.

The assignment or surrender of a lease is not notifiable if

• the term of the lease when granted was less than seven years
• there is no tax to pay on the consideration given.
• no relief or exemption is being claimed
• no relief was claimed on first grant of the lease.

The assignment or surrender of a lease originally granted for seven years or more is not notifiable if any chargeable consideration for the assignment or surrender is less than £40,000.

Transactions where there is no chargeable consideration may nevertheless be acquisitions of a major interest in land. See examples at SDLTM00330a.