Welsh Government introduces its first tax in almost 800 years.



Welsh Government introduces its first tax in almost 800 years.

Welsh Government introduces its first tax in almost 800 years.

 

The historic tax announcement made last year stated that from April 1st 2018, Land Transaction Tax (LTT) will replace UK Stamp Duty Land Tax (SDLT) in Wales. Like UK Stamp Duty Land Tax (SDLT), Land Transaction Tax (LTT) will be payable when you buy or lease a building or land over a certain price. In some cases it may impact on house buyers and sellers and businesses including builders, property developers and agents involved in the transaction process (such as solicitors and conveyancers).

Simplifying, while improving the efficiency and effectiveness of the tax was the fundamental reason behind the changes. A tax created in Wales for Wales still retains parallels with its predecessor. The new legislation broadly consistent with SDLT, preserving the underlying structure and mirroring key elements such as partnerships, trusts and reliefs, to provide stability and reassurance to businesses and the property market.