Land Transaction Tax return guidance

This is pre-populated with the information you provided when you registered. To change this, contact us.

This is your reference number. If the reference is longer than the space provided, use abbreviations.

Please enter the details of the agent we’d contact if we had any queries about this return. 

With these details, we can ensure our data is accurate. We can quickly contact the right person at the right time to resolve queries. Avoiding escalation that may result in the taxpayer being charged penalties and interest.

Please enter their name, direct phone number, and their email address (optional).

• If the buyer is acting on behalf of a bare trust, enter the beneficiary’s details.
• If the buyer is acting as any other type of trust (such as settlement), enter the trustees’ details.
• If the beneficiary or trustee is not an individual/group of individuals, or if the trust is registered with HMRC, you must not complete this section.

Further guidance on trusts

If the buyer is not an individual/group of individuals, you must not complete this section.

You can select additional buyers from the summary page of the draft return.

Complete the ‘Other (specify)’ box if the appropriate title is not an option. If the appropriate title does not fit in this box, use abbreviations. For example, you can show Captain as Capt.

Enter the first name of the buyer. You may also enter a middle name.

Enter the last name of the buyer.

Enter the buyer’s main residence from the effective date of the transaction.

Use the address lookup to find your property so that we have accurate data. If you cannot find the address in the lookup you can enter it manually.

You must answer this question.

Enter the date of birth for the buyer, using the format dd/mm/yyyy. For example, ‘28/06/1979’.

Enter the buyer’s daytime phone number including the area code.

You can enter a mobile number if this is more useful for contacting the buyer.

If there's more than one buyer and they share the same phone number, please enter this number for each buyer in the buyer's contact details section.

Enter the buyer’s email address.

If there's more than one buyer who both share an email address, please enter the same email address for each buyer / in the buyer's details section.

If you find:

• the buyer does not have an email address but can access an email account of a trusted helper (such as a friend or family member), this can be used with their consent
• the buyer does not have an email address or no access to an email address, contact us for more information

Further guidance on using email to correspond about tax.

You must answer this question if the buyer is an individual who has a permanent National Insurance number.

Give the correct National Insurance number for the buyer. A National Insurance number will look something like ‘QQ 12 34 56 A’. Found on payslips from an employer or any letter from the Department for Work and Pensions or Jobcentre plus.

Do not use a temporary National Insurance number (these always start with ‘TN’).

Select the identification number that you have or select 'Other' and complete the 'Other (specify)' box to tell us which form of identification your ID reference number relates to.

Enter the ID reference from the form of identification you’re using:

• for passports, driving licenses, and ID Cards, if issued in the UK, the reference can be found on your actual passport, driving license or ID Card
• for Unique Tax References, if issued in the UK, they will be 10 digits long and can be found on correspondence from HMRC or within the buyer’s online account with HMRC

You must also show which country issued the identification to you in the ‘Country of issue’ box.

If the interest in land is acquired on trust and the buyer is a trustee or is one of several trustees’, answer ‘Yes’. Answer ‘No’ in all other cases.
 
How LTT applies with interests in trusts

The definition of ‘connected’ is covered in Section 1122 Corporation Taxes Act (CTA) 2010. Examples of connected persons include but are not limited to: 

• a husband, wife or civil partner
• a brother or sister, his or her ancestors and lineal descendants
• business partners and their relatives
• a person and a company that they control
• 2 companies controlled by the same person

View the Corporation Tax Act
 
Further guidance on linked transactions
 
Answer ‘Yes’ if the buyer is connected with the seller in any way defined in Section 1122 Corporation Taxes Act (CTA) 2010. Otherwise, answer ‘No’.

• If the buyer is acting on behalf of a bare trust, then enter the beneficiary’s details.
• If the buyer is acting as any other type of trust (such as settlement), then enter the trustees’ details.
• If the beneficiary or trustee is not an individual/group of individuals, you must complete this section.
• If the trust is registered, enter the name of the trust and the trust Unique Tax Reference number (as issued by HMRC). If the trust is not registered, do not complete this section; select Individual.

Further guidance on trusts

If the buyer is not an individual/group of individuals, you must complete this section.

You can select additional buyers from the summary page of the draft return.

Enter the registered legal name of the buyer.

If the buyer’s name is longer than the space provided, use abbreviations.

You must answer this question if the trading name differs from the legal one. Enter the trading name of the buyer.

If the buyer has more than one trading name, enter the trading name considered to be the most used/known.

If the trading name is longer than the space provided, use abbreviations.

Enter the address where we can write to the buyer after the effective date of the land transaction.

Use the address lookup to find your property so that we have accurate data. If you cannot find the right address in the lookup you can enter it manually.

Answer ‘Yes’ if the following applies to the organisation:

• is solely based in the UK
• its head office is in the UK
• has another permanent establishment (as defined for UK tax purposes in sections 1141 and 1142 of the Corporation Tax Act 2010) in the UK

In all other cases, answer ‘No’.

Further information on sections 1141 and 1142 of the Corporation Tax Act 2010

If the organisation is registered with Companies House, enter the Company Registration Number (CRN).

You can find this number on your certificate of incorporation or any other document sent to you by Companies House.

A CRN will be a combination of 8 numbers, or 2 letters followed by 6 numbers. For example, 12345678 or AB123456.

Give the VAT registration number. Make sure that the number you provide is a valid VAT registration number.

It should be 9 digits long; for example, ‘123 4567 89’ and have no alpha characters. It will not start with 0. You can find this number on your or your client’s VAT Registration Certificate or on invoices that they issue.

If the organisation does not have a VAT or Companies House number, you can provide a different form of identification.

If the buyer is a business operating in the UK, the Unique Tax Reference (UTR) and Partnership / Trust UTR will have been issued by HMRC. They will be 10 digits long. You can find these references on correspondence from HMRC or within the buyer’s online account with HMRC.

If the buyer is a UK registered charity, you can find the Charity Registration Number on their Charity Registration Certificate, or you can search the charity register on GOV.UK.

If the buyer is not based in the UK, enter a non-UK reference and show which country issued it.

If the interest in land is acquired on trust and the buyer is a trustee or is one of several trustees, answer ‘Yes’. Answer ‘No’ in all other cases.

How LTT applies with interests in trusts

The definition of ‘connected’ is covered in Section 1122 Corporation Taxes Act (CTA) 2010. Examples of connected persons include but are not limited to:

• a husband, wife or civil partner
• a brother or sister, his or her ancestors and lineal descendants
• business partners and their relatives
• a person and a company that they control
• 2 companies controlled by the same person

Answer ‘Yes’ if the buyer is connected with the seller in any way defined in Section 1122 Corporation Taxes Act (CTA) 2010. Otherwise, answer ‘No’.

Further guidance on linked transactions

View the Corporation Tax Act

You can add additional sellers by returning to the summary page of your draft return and selecting ‘add another seller’.

You can complete the ‘Other (specify)’ box instead if the appropriate title is not shown as an option.

If the appropriate title does not fit in this box, use abbreviations. For example, you can show Captain as Capt.

Enter the first name of the seller. You may also enter a middle name.

Enter the last name of the seller.

This is the seller’s main residence from the effective date of the transaction.

Enter the registered legal name of the seller.

If the seller’s name is longer than the space provided, use abbreviations.

Enter the trading name of the seller. If the seller has more than one trading name, enter the trading name considered to be the most used/known.

If the trading name is longer than the space provided, use abbreviations.

Enter the address where we can write to the seller after the effective date of the land transaction.

Use the address lookup to find your property so that we have accurate data. If you cannot find the right address in the lookup you can enter it manually.

Enter the name of the solicitor or other person acting as an agent on behalf of the seller.

If the agent’s name is longer than the space allows for, use abbreviations.

Use the address lookup to find your property so that we have accurate data. If you cannot find the right address in the lookup you can enter it manually.

You can add additional parcels of land by returning to the summary screen for each draft return.

Use the address lookup to find your property so that we have accurate data. If you cannot find the right address in the lookup you can enter it manually.

If the land does not have a postal address, include a description of where the land is situated in relation to prominent surrounding features.

If there is no postal address, you must provide the Valuation Office with a plan of the land. The plan must include the dimensions and full description of the boundaries, and the Unique Transaction Reference Number (UTRN) we’ll provide you with. You can send this information electronically to the Valuation Office Agency at sdlt@voa.gov.uk

Enter the local authority responsible for the area in which the land is situated. You must enter the appropriate local authority from the list.

This will be automatically populated when you select an address using the postcode look up. If you’ve entered the address manually, you’ll need to manually enter the unique property reference number.

If the property is registered, give the title number.

If more than one title relates to separate areas of the property, enter all titles.

If the entire parcel of land and its boundaries are situated wholly within Wales, answer ‘No’. If part of the land and its boundaries are situated in Wales, and part in England (no matter how small that part), answer ‘Yes’.

You may want to use our checker to find out if a postcode is located in Wales for LTT.

Further guidance relating to cross-title transactions

If this is a cross-title transaction, enter the total consideration being made for the totality of the titles, including the parts both in England and Wales.

The amount you enter as consideration should include the following where appropriate:

• the total consideration in money or money’s worth given by the buyer in whatever form for the land or property
• the total consideration given for the assignment
• any premium
• if there’s a legal requirement for LTT to be paid on the market value, state the market value
• any VAT actually payable

Where the transaction involves a lease, the consideration should not include rent.

Enter the amount rounded down to the nearest pound.

Agricultural land is land that’s mainly used for agricultural purposes, such as for rearing of livestock or production of crops or similar.

Development land is land the buyer is purchasing to develop for residential, commercial or civil engineering purposes. It need not have planning permission.

If the land meets either of these definitions, answer ‘Yes’.

In all other cases, answer ‘No’.

If the transaction relates to agricultural or development land, you must enter the area. Select either square metres or hectares. Do not use any other unit of measurement.

• If entering square metres, enter a whole number rounded down to the nearest square metre. 
• If entering hectares, round down to the nearest 2 decimal places.

If there are any minerals or mineral rights reserved, this will be shown on the title deeds. If such rights exist, answer ‘Yes’ irrespective of who holds those rights.

Otherwise, answer ‘No’.

If land forms any part of the consideration between the buyer and seller, answer 'Yes'. Otherwise, answer ‘No’.

If the land is exchanged, enter the postal address of the land that was part exchanged.

You’ll need to select if the transaction is:

• residential (main rates and higher rates)
• non-residential
• mixed use

Further guidance on transactions subject to higher rates

You may want to use our tool to check whether a transaction is subject to the higher rate of LTT.

A: ‘Residential’ (main rates and higher rates)

If the transaction involves:

• a building that’s used or suitable for use as one or more dwellings or is in the process of being constructed or adapted for such use
• land that is, or forms part of, the garden or grounds of such a building described above
• an interest in or right over land that subsists for the benefit of such a building or its grounds (for example, a right of way to access the dwelling)

If ‘Residential (main rates and higher rates)’ is selected and the buyer is an individual, select whether this is a higher rates residential property (for example, second homes / buy to let)’ because:

• the buyer / one of the buyers already holds a major interest in another property, or
• the buyer is a limited company, or
• the transaction is subject to the higher rates for any other reason

If you’ve selected ‘No’, you’ll be able to continue to the next section and ‘main rates’ will be applied in the calculation.

If you select ‘Yes’, then ‘higher residential rates’ will be applied in the calculation. Please specify whether you envisage reclaiming the higher rate within the next 3 years on this transaction.

If ‘Residential (main rates and higher rates)’ is selected and the buyer includes an organisation, you’ll need to select whether the property includes a dwelling.

When an organisation buys a dwelling, it will normally have to pay higher rates, even if it does not own any other dwellings.

B: ‘Non-residential’ 

If the whole property does not meet the definition of 'residential' further above.

C: ‘Mixed use’

If only part of the property meets the definition of 'residential' further above.

If you’ve selected ‘Non-residential’ or ‘Mixed use’ for the previous question, you must answer this question why all or part of the property is non-residential from the list provided.

If you’ve selected ‘Other’, state the non-residential property type.

If you’ve selected ‘Higher rate residential’, you must answer this question. Under certain circumstances, you can claim back the higher rate element of the tax you paid on this transaction.

Further guidance on higher rates for purchases of residential property

If the buyer expects to claim back the higher rate element of the tax you have paid at some future point (subject to the time limits referred to in guidance), you should answer ‘Yes’.

Otherwise, answer ‘No’.

Most purchases of dwellings by non-individuals will be subject to higher rates.

The following definitions should be used to determine which reason best describes why the purchase is being made.

A: For individuals

Bridging or haven’t sold previous main residence

Select this option if the buyer intends the purchased dwelling to be their main residence but still own their current main residence.

They’ll be able to apply for a refund of the higher rate tax if:

• they dispose of their previous main residence within 3 years, and
• all relevant conditions are met as per guidance under LTTA/8120

B: For non-individuals

Trade or business use (not including buy to let or holiday let)

Select this option if the buyer intends to use the dwelling in relation to a business or trade. This does not include:

• a buy-to-let dwelling, which should be captured under ‘Buy to let Landlord’
• a holiday letting, which should be captured under ‘Buying a holiday let’

C: For all buyers

Buy-to-let landlord

Select this option if:

• the buyer intends to rent this dwelling on a fixed term or periodic contract basis, and/or
• they’ve a buy-to-let mortgage

Buying a second home or holiday home

Select this option if the buyer does not intend to use this dwelling as their main residence.

It may be:

• occupied by the owner or guests, including family and friends, on a non-commercial basis, and/or
• let on a casual basis for consideration or free of charge

Buying a holiday let

Select this option:

• if the buyer intends to let the dwelling commercially as a holiday or short term let, including as a furnished holiday let, and/or
• where there’s restricted occupation

Buying for someone else (including minors)

Select this option if the buyer is purchasing on behalf of someone else, including but not limited to:

• a minor, and
• the buyer already owns a major interest in another dwelling

Buying in relation to a trust

Select this option if:

• a beneficiary of a bare trust or settlement trust would be treated as the buyer for LTT and be liable to the higher rate if they acquired the dwelling directly, or
• the buyer (or one of them) is a trustee for a settlement trust where the beneficiary is not entitled to:
  • occupy the dwelling(s) for life
  • income earned from the dwelling(s)

Further guidance onwards from LTTA/8180 Settlements and Bare Trusts

Transfer of equity (including with a mortgage)

Select this option if there’s a transfer of equity to the buyer and they own a major interest in another dwelling.

Other

Select this option if the transaction attracts a higher rate but not under any of the defined options above.

We’ve provided a text box to understand any reasons not listed.

Select one option.

For wholly residential transactions, the buyer should not be charged VAT.

The buyer may be charged VAT on non-residential transactions. If you’re unsure about whether VAT is being charged or not, you should consult the seller or your agent.

If the buyer is being charged VAT, answer ‘Yes’. Otherwise, answer ‘No’.

Select one option.

If ‘Yes’, give a brief description, for example:

• seller retains the right to buy back at less than market value
• lease covenants restrict the use of the shop
• agricultural occupancy conditions apply

Answer ‘Yes’ if this transaction results from an option being exercised.

An option to buy land is a binding right granted by a landowner. It gives a prospective buyer an entitlement to purchase that land before a specified date. In all other cases, answer ‘No’.

Further guidance about options

Answer ‘Yes’ if you asked for a tax opinion before the transaction took place, and we gave you a formal written response.

The tax opinion reference number will be shown on our formal written response. Enter the reference number in the space provided.

If you did not ask for a tax opinion, answer ‘No’.

Further information on WRA tax opinions

Answer ‘Yes’ if all of the following apply:

• there’s more than one transaction
• the transactions are between the same buyer and seller, or between people connected with either of them
• the transactions form part of a single arrangement or scheme or part of a series of transactions
• at least one of the transactions involves land outside the borders of Wales

Otherwise, answer ‘No’.

Further guidance on linked transactions

You need to answer ‘Yes’ if all of the following apply:

• there’s more than one transaction
• the transactions are between the same buyer and seller, or between people connected with either of them
• the transactions form part of a single arrangement or scheme or part of a series of transactions

Otherwise, answer ‘No’.

Further guidance on linked transactions

Enter the amount of consideration, chargeable in respect of all linked transactions, even if some of those linked transactions have already been reported on an LTT return in the past.

The amount you enter as consideration should include the following where appropriate:

• the total consideration in money or money’s worth given by the buyer in whatever form for the land or property
• the total consideration given for the assignments
• any premium
• if there’s a legal requirement for LTT to be paid on the market value, state the market value
• any VAT actually payable

Where the transaction involves a lease, it should not include rent.

Enter the amount rounded down to the nearest whole pound.

Further guidance on consideration

Enter the Unique Transaction Reference Number (UTRN) of any linked transactions that you’ve already reported to the WRA in the past. You’ll find the UTRN on the LTT Certificate.

If there’s more than one linked transaction in the past, include all the UTRNs.

If you’re notifying us of linked transactions with the same effective date, you should complete one return for all transactions. You can add additional land on the summary page for your draft return.

Further guidance on linked transactions

If none of the linked transactions involves rent in respect of non-residential or mixed-use land, answer ‘£0’.

If any of the linked transactions involve rent in respect of non-residential or mixed-use land, you must enter the total NPV of the rent payable over the terms of all linked leases to the nearest pound. To calculate this value, you’ll need to ascertain the NPV for each applicable transaction, as though they were not linked, and enter the sum of all NPVs.

You may find it helpful to use our tax calculator to calculate the NPV.

Answer ‘Yes’ if any of the consideration to be paid is contingent or uncertain. Otherwise, answer ‘No’.

Examples of contingent events include but are not limited to:

• £x additional amount is to be paid, if planning permission is obtained within x number of years
• £x additional amount is to be paid, if profits exceed x amount

Further guidance on contingent consideration 

Answer ‘Yes’ if the WRA has formally permitted you to defer LTT chargeable to contingent consideration.

Otherwise, answer ‘No’.

Further guidance on deferred payments

Answer ‘Yes’ if you’ve already submitted a return in respect of this transaction, and this return is a 'further return' that the buyer is obliged to file under LTT rules.

Examples:

• higher rates are due on an intermediate transaction, refer to guidance on higher rates
• a return has already been submitted in respect of the acquisition of an option, and a further return is now due in respect of the exercise of that option, refer to further information on options
• a return has been submitted in respect of a lease running for an indefinite period of time, and a further return is now due because the lease has run for another 12-month period, refer to further guidance about leases

These are not the only examples of why a further return may be due.

If this is not a further return, answer ‘No’.

Enter the Unique Transaction Reference Number (UTRN) of any linked transactions that you’ve already reported to the WRA in the past. You’ll find the UTRN on the LTT Certificate. 

Briefly state the reason why you’ve sent us a further return.

For example, ‘Paid main rate on a Buy to Let; the purchase of a main residence means that higher rate is now retrospectively due’.

Further guidance on linked transactions

If VAT is being paid, enter the amount of VAT paid, rounded down to the nearest pound.

The total VAT should be the sum total of:

1. VAT due on consideration other than rent, and
2. (NPV / (100 + Present VAT Rate)) X Present VAT Rate (VAT element of the NPV)

To illustrate how point 2 should be calculated, if the present VAT rate were 20% and the NPV was £100,000, then the VAT element would be £16,666, calculated as follows: (£100,000 / (100+20)) X 20 = £16,666.

Consideration ('payment') comes in forms other than money ('cash'). Most transactions will be wholly satisfied by payment in money. But if other types of consideration are involved in this transaction, you must show all types of consideration by selecting all appropriate options.

Tax is chargeable on the total of all forms of consideration in money or money’s worth. Consideration other than money must be valued at its full market value as at the effective date of the transaction.

Further guidance on chargeable consideration

If the buyer’s acquisition of the land is part of an agreement to purchase a business, you must answer ‘Yes’. Otherwise, answer ‘No’.

If the buyer is purchasing a business including land, consideration may have been made in respect of matters other than the land (for example, goodwill, stock).

If consideration is being given for anything other than the land, you must answer ‘Yes’.

Otherwise, answer ‘No’.

Select what the buyer has given consideration for, in respect of matters other than the land. Consideration given to such matters is not chargeable to LTT.

Enter the amount of consideration (in money or money’s worth, including VAT) given in respect of the matter that you indicated was not chargeable to LTT.

Enter the amount rounded down to the nearest pound.

Enter the start date as shown in the lease. If the lease shows that the start date is in the future, enter the future date.

Enter the end date as shown in the lease. Do not enter the break point or review date.

If the transaction is the grant of a new mixed/non-residential lease, where lease start date is before the effective date, confirm which date to use for the NPV calculation, either the lease start or effective date.

The most common scenarios where the lease start date should be selected are:

• holdover leases (refer to LTTA/4060), and
• where a lease continues after a fixed term, and a new lease is granted (refer to LTTA/4030)

For most other transactions, the ‘Calculate from the effective date of transaction’ would be the appropriate option.

Enter the number of years the lease is due to run for, ignoring any potential early termination.

If the lease is not due to run for a whole number of years, round down to the nearest whole year.

For example, if the lease is due to run for 10 years and 6 months, enter ‘10’.

Enter the amount of rent payable for the first year of the lease. Include any rent that’s contingent on uncertain events.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

If no rent is payable to the landlord in respect of the first year, enter ‘£0’.

Enter the amount of rent payable for the second year of the lease. Include any rent that’s contingent on uncertain events.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

If no rent is payable to the landlord in respect of the second year, enter '£0'.

Enter the amount of rent payable for the third year of the lease. Include any rent that’s contingent on uncertain events.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

If no rent is payable to the landlord in respect of the third year, enter ‘£0’.

Enter the amount of rent payable for the fourth year of the lease. Include any rent that is contingent on uncertain events.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

If no rent is payable to the landlord in respect of the fourth year, enter ‘£0’.

Enter the amount of rent payable for the fifth year of the lease. Include any rent that is contingent on uncertain events.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

If no rent is payable to the landlord in respect of the fifth year, enter ‘£0’.

Enter the ‘relevant rent’.

The relevant rent is the average annual rent payable across the full term of the lease.

Further guidance on relevant rent

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

Enter the highest amount of rent payable in any 12 consecutive months, within the first 5 years of the lease agreement.

Note that this is not necessarily the highest value you entered for the rent years provided.

In this example, the rent for year 1 is £10,000 and the rent for year 2 is also £10,000. But the highest rent payable in any 12-month consecutive period is £20,000.

Enter the amount in pounds sterling. Do not round to the nearest pound, show the pence after the decimal point.

You may find it helpful to use our tax calculator.

Date must be in dd/mm/yyyy format, for example, ‘31/01/2023’ and must be today’s date or a date in the past. You can enter a future date or leave blank to demonstrate likely tax amount. However, the actual date must be input at the point of submission.

Use the effective date if there's not a contract date for the transaction.

The effective date of a land transaction is usually the date that the transaction is completed; not the date contracts are exchanged. However, there are also rules around ‘substantial performance’, which mean that LTT could be due at an earlier date.

Further guidance on ‘substantial performance’

Date must be in dd/mm/yyyy format, for example’ ‘01/04/2018’. You can enter a future date or leave blank to demonstrate likely tax amount. However, the actual date must be input at the point of submission.

Answer ‘Yes’ if the buyer is claiming any of the tax reliefs available under LTT rules.

If the buyer is not claiming a relief, answer ‘No’ and you’ll be taken to the next section ‘What is the total consideration in money or money’s worth, including any VAT actually payable, for the transaction (including any premiums)?’

There’s no first-time buyers’ relief in Wales.

You should note that a relief is not the same as an exemption. If a transaction is exempt from LTT, there’s no need to file a return.

Select all the reliefs that the buyer is claiming for.

If the relief does not reduce the amount of consideration chargeable to LTT to £0, answer ‘Yes’. Otherwise, answer ‘No’.

Enter the amount of consideration (in money or money’s worth, including VAT), which remains chargeable to LTT after all applicable reliefs have been taken into account.

Enter the amount rounded down to the nearest whole pound.

Enter the total number of dwellings bought as part of this purchase.

Enter the amount rounded down to the nearest pound.

Further guidance on chargeable consideration

Answer ‘Yes’ if there any subsidiary dwellings. Otherwise, answer ‘No’.

Further guidance on subsidiary dwellings

Enter the number of subsidiary dwellings.

Enter the amount rounded down to the nearest pound.

Further guidance on chargeable consideration

Answer ‘Yes’ if there is any other land. Otherwise, answer ‘No’.

Enter the amount rounded down to the nearest pound.

Further guidance on chargeable consideration

Enter the total consideration being paid for as much of the transaction subject to LTT (exclude any part of the transaction subject to SDLT in England or LBTT in Scotland).

The amount you enter as consideration should include the following where appropriate:

• the total consideration in money or money’s worth given by the buyer, in whatever form, for the land or property
• the total consideration given for the assignment
• any premium
• if there is a legal requirement for LTT to be paid on the market value, state the market value
• any VAT actually payable

Where the transaction involves a lease, it should not include rent.

Enter the amount rounded down to the nearest pound.

Further guidance on consideration

If you disagree with the calculation generated by the system or wish to make an election and choose to enter a different amount, you’ll be asked further questions.

In this case, select the appropriate reason:

• Partnership transaction where tax is calculated using the sum of lower proportions
• Adjusted for overlap relief on a lease transaction
• Transitional rules apply
• Other 

Use ‘transitional rules apply’ if you’re filing a return where you’re electing for the transitional arrangements to apply due to the changes to the LTT main residential rates and bands made on 10 October 2022.

You may be able to make this election when:

• contracts have been exchanged before 10 October 2022 but not completed, and
• there are no substantial changes to the transaction between exchanging and completing.

Use ‘transitional rules apply’ if you’re filing a return where the exception to the LTT rates and bands changes made in December 2020 applies. This is when contracts have been exchanged before 22 December but not completed and the previous rates of tax may be used if there are no substantial changes to the transaction between exchanging and completing.

Further guidance on partnership transactions

Further guidance on overlap relief on a lease transaction

Further guidance on transitional rules for October 2022 main rates changes

Further guidance on transitional rules for December 2024 higher rates changes 

Explanation of the calculation

Provide detail as to how you calculated the tax at the new figure.