»Ê¹ÚÌåÓýapp

Relief is withdrawn when a purchaser ceases to use qualifying land exclusively in a qualifying manner during the control period.

»Ê¹ÚÌåÓýapp control period begins on the effective date of that transaction and ends the earlier of â€�

· 3 years from the effective date of a transaction (para 9(1)(a)); and

· complete disposal of qualifying land (para 9(1)(b)).

Where relief is withdrawn, a further return must be made (and tax paid) within 30 days of the date when qualifying use ended. »Ê¹ÚÌåÓýapp tax payable when relief is withdrawn is the whole of the relief originally claimed.

Example

A purchaser buys 40 acres of ‘mixed� land in a special tax site costing £400,000. All of it is inside a special tax site and all but 10 acres are intended to be used in a qualifying manner.

»Ê¹ÚÌåÓýapp tax attributable to the 30 acres that was intended be used in a qualifying manner, reducing the tax charge accordingly.

Two years after acquisition the purchaser ceased to use one of the 30 acres of the qualifying land in a qualifying manner. A further return, and the tax for the whole 40 acre purchase less any tax already paid, became due and payable 30 days from the day the change occurred.