The Chancellor had previously warned that he would “not hesitate to move swiftly, without notice and retrospectively” to counter aggressive and widely marketed Stamp Duty Land Tax (SDLT) schemes. Last week, when announcing retrospective SDLT legislation to counter subsale schemes, he may have attracted applause from parental coaches everywhere by showing that he was willing to ”follow through.” This advisory reviews some of the practical implications raised by this development.

Don’t Look Back in Anger -

Essentially, the subsale schemes involve an original purchaser who:

- contracts to acquire land (often residential);

- then enters into an onward sale agreement with a second purchaser, subject to completion being delayed for up to 125 years; and

- remains in possession.