These include:
A significant change to the proposed charge on the rental element when a new lease is granted ('lease duty'), reducing tax bills by £1500 per lease on commercial transactions (£600 per lease on residential transactions), which will be of special benefit to smaller businesses.
A new relief for businesses raising finance through the sale and leaseback of their land and buildings and relief for 'chain-breaking' and similar companies which help to ensure an active housing market.
Further consultation on how the new regime might apply to partnerships. The announcement follows extensive consultation on the process throughout the earlier part of this year.
Ruth Kelly MP, Financial Secretary to the Treasury, said: 'Stamp Duty Land Tax is on course for implementation on 1 December 2003. The proposals announced today, along with those announced in Budget 2003, will help to achieve the Government's aim of a modern, efficient, system of taxing land transactions which promotes fairness between taxpayers, reduces distortions and prevents avoidance. I am also pleased that our proposals, which follow extensive and valuable consultation with interested parties, will be of particular help to small and medium-sized enterprises and business start-ups.' The Government will shortly be laying regulations before the House of Commons to give effect to the changes to lease duty, sale and leaseback, chain-breaking and other reliefs. The regulations will also make some technical corrections and clarifications which are set out in the attached Technical Note. The Government has today published draft clauses for consultation on partnerships.
