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Where Taxpayers and Advisers Meet

SDLT on commercial property

nannu02
Posts:1
Joined:Sun May 07, 2017 9:55 pm
SDLT on commercial property

Postby nannu02 » Sun May 07, 2017 10:00 pm

Hi,
Can anyone advise who is responsible for paying SDLT on a commercial property. Is it the landlord or the tenant ? It is NHS premises where we are moving as tenants to provide GP services. The landlord is NHSPS. The practices will enter a lease agreement with the NHSPS. So can anyone advise please.

Thanks in advance.

simplyaccountant
Posts:8
Joined:Tue Apr 25, 2017 2:42 pm

Re: SDLT on commercial property

Postby simplyaccountant » Mon May 08, 2017 4:28 pm

Hi Nannu02,

My understanding is that person acquiring leasehold interest to property should pay SLDT for non residential properties.

The amount of SDLT is due when you buy a new non-residential lease depends on the amounts of the premium (or purchase price of the lease) and rent you pay under the lease. you will not have to pay SDLT on the premium, if the premium is under the £150,000 non-residential threshold. The ‘£1,000 rule’ has been abolished from this date.

If the NPV of the rent is over the non-residential SDLT threshold (£150,000), you pay SDLT on the rent as well as on the premium.

Hope above helps but would advice you to engage legal advisor / commercial property expert solicitors to help you with such complex issues.

Regards


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