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An update on our Land Transaction Tax (LTT) system and guidance for tax professionals.

Organisation:
First published:
14 June 2021
Last updated:

Temporary reduction ends on 30 June 2021

As previously announced by Welsh Government, the nil rate band of Land Transaction Tax (LTT) for residential property transactions will revert to £180,000 on 1 July 2021.

There are no transitional rules. A transaction will need to have completed before Thursday 1 July 2021 to use the temporary increase to the nil rate band. 

Our LTT calculator, services and guidance reflect this change

Higher rates checker tool

Use our Land Transaction Tax higher rates checker to help you decide if higher rates apply to a transaction.

For linked transactions please refer to our guidance instead.

If you find the questions do not relate to your situation refer to our higher rates guidance or contact us if your query is complex.

Sending us post

Due to coronavirus (COVID-19) we have limited access to post. This includes receiving cheques. See full details of how our services have been affected by coronavirus.

Keep personal information secure

Our phishing and scams guidance sets out how to avoid and report tax scams. It also explains how to keep personal information safe when communicating with us.

If you’re in any doubt that a communication from us is genuine, please do not reply and contact security@wra.gov.wales

Technical tax updates

We want to help you get the tax right first time. We’ve updated our guidance in areas where we’ve received queries or mistakes on returns.

If after reading our guidance, you’re still not sure about a return please contact our helpdesk for support or ask for a tax opinion. We want to help you upfront rather than correct information later.

Derelict buildings

We’ve updated a section in our interpretation provisions guidance to help address some of the queries we’ve received around whether a building is treated as derelict for LTT.

Let us know what you think using the feedback links at the top of our guidance pages. We monitor your feedback regularly to improve our content.

Mixed use properties

We continue to receive returns where it’s possible that property is incorrectly described as mixed use.

If you’re unsure if a transaction is residential or non-residential, please refer to our guidance to help differentiate between land that’s garden or grounds of a house, and non-residential land.

Multiple dwellings relief (MDR)

It’s really important to us that MDR is claimed correctly when the return is filed.

For help, we've published a new MDR quick guide on our website or you can use our technical guidance on acquisitions involving multiple dwellings – we’ve updated the key terms and definitions section.

Online tax system update

You’re now able to activate and deactivate users yourselves

We’ve updated our tax system to enable your online administrators to activate and deactivate users without contacting us to speed up the process.

New users still need to sign up for an online account themselves and our guidance on managing users sets out the full process. If any of your colleagues have now left your organisation please deactivate them.

Here’s a quick video showing the user registration changes.

Get involved

User research

We're always looking to make our services easier to use. Sign up to join our user feedback group and help us improve by emailing: haveyoursay@wra.gov.wales

Have your say

For any questions or comments about this update, or any aspect of our service, please email: haveyoursay@wra.gov.wales