The Land and Buildings Transaction Tax - Additional Dwelling Supplement: A call for evidence and views

Closed 11 Mar 2022

Opened 16 Dec 2021

Contact

Devolvedtaxes@gov.scot

Feedback updated 8 Feb 2023

We asked

On 16 December 2021, the Scottish Government published a call for evidence and views on the Land and Buildings Transaction Tax (LBTT) Additional Dwelling Supplement (ADS). Evidence and views were sought on key aspects of the ADS in order to identify any proposals for legislative amendments which could address the issues of concern.

You said

The call for evidence and views closed on 11 March 2022, receiving 67 responses from a broad range of stakeholders. Submitted responses have been published where permission has been given here.

We did

The Scottish Government has published its response to the call for evidence, which is available here.

The responses, along with evidence from accompanying stakeholder roundtable discussions and available data, have informed the next steps of the ADS Review. The Scottish Government has published a consultation on the proposed legislative changes here.

Published responses

View submitted responses where consent has been given to publish the response.

Overview

The Scottish Government seeks evidence and views on the operation of the Land and Buildings Transaction Tax (LBTT) Additional Dwelling Supplement (ADS).

The Scottish Government committed to a review of the ADS in the 2021-22 Programme for Government. This call for evidence and views is the first stage of that review.

The Scottish Government is seeking views on a number of key themes including:

  • The length of time available to purchase a new main residence before or after the sale of a previous main residence
  • The application of the ADS in certain circumstances, for example:
    • two or more people buying a property together
    • transactions involving local authorities, housing co-operatives or other approaches providing housing that is intended to be affordable
    • Whether there are issues in relation to the ADS affecting different parts of Scotland which should be considered.

The call for evidence does not seek views on whether or not the ADS should remain in place. The ADS is an important element of LBTT and the Scottish Government intends for it to continue.

Responses are welcome from anyone with an interest in the subject. 

The consultation will run for a period of 12 weeks until 11 March 2022 and will be complemented by a series of wider engagement events with key stakeholders.

Read the consultation paper

Why your views matter

The ADS is due when a buyer, or more than one buyer, purchases a property which results in them owning more than one residential property, and they are not replacing their main residence.

This call for views and evidence offers an opportunity to highlight any issues of concern with the ADS and to provide evidence which could inform any subsequent legislative changes.

Responses are accepted for a period of twelve weeks from the date of publication.

Interests

  • Building and Planning
  • Housing and Regeneration