Where a land transaction is entered into for the purposes of or in connection with the transfer of an undertaking or part of an undertaking and the qualifying conditions are met, the transaction will qualify for acquisition relief, which is a partial relief from tax (Sch. 11, para. 6).

Nature of acquisition relief

This relief differs from reconstruction relief, in that acquisition relief is not a total relief that renders the land transaction exempt from charge. Instead, acquisition relief is a partial relief whereby the full liability for the land transaction is reduced to the prescribed proportion that has been set by the Scottish Ministers.

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