SDLTM09250 - What is not incidental: Section 75B(2)

(This page was amended on 15 January 2020)

Section 75B(2) FA03 lists certain transactions which won’t be regarded as incidental transactions:

• If the transaction is part of a series of transactions which are required for the chargeable interest to be transferred
• If the transaction is or forms part of the process which transfers the chargeable interest
• Any transaction where the transfer of the chargeable interest is conditional on the completion of the transaction
• If the transaction is a scheme transaction specifically included in S75A(3), see SDLTM09200

When considering the above transactions, the transfer of the chargeable interest from V to P includes the disposal of a chargeable interest by V and the acquisition of that interest or an interest deriving from it by P.

If a transaction falls into one of the above categories, the consideration given for that step cannot be disregarded in calculating the chargeable consideration for the notional land transaction.