ABSTRACT
The main thrust of the legislation is to ensure that tax is paid on the actual purchase price paid rather than market value, and ignores the concept of contingent consideration specifically using Schedule 9 to Finance Act 2003 to disapply the provisions of s 51. The intention is that Stamp Duty Land Tax (SDLT) will impact in the same way as if the property had been acquired under a conventional mortgage arrangement. The registration of common parts in the name of a commonhold association and the registration of a unit in the name of a unit holder are all land transactions, being the acquisition of chargeable interests by operation of law. Commonhold was created by the Commonhold and Leasehold Reform Act 2002 which was enacted on 27 September 2004. The right of collective enfranchisement is derived from the Landlord and Tenant Act 1987 and the Leasehold Reform, Housing and Urban Development Act 1993, and relates to flats.
