REV BN 11: Stamp Duty and Stamp Duty Reserve Tax: Extension of Reliefs for Intermediaries and Repurchases/Stock Lending

Who is likely to be affected?

1. Intermediaries who are members of a specified Multilateral Trading Facility (MTF) as defined by the EU Markets in Financial Instruments Directive (MiFID) - Directive 2004/39/EC.

General description of the measure

2. To extend Stamp Duty /Stamp Duty Reserve Tax (SDRT) relief for intermediaries and for repurchase/stock lending to members of a MTF that meets the MiFID definition.

Operative date

3. This measure will apply from Royal Assent to the Finance Bill.

Current law and proposed revisions

4. The reliefs, introduced in 1997, are currently only available to members ofan EEA exchange, a recognised foreign exchange, or any market that is not a recognised exchange but is prescribed by order under section 118(3) Financial Services and Markets Act 2000.

5. The measures will allow the Treasury to designate specified MTFs as being, in effect, a 'recognised exchange' for the purposes of Stamp Duty and SDRT intermediary and repurchase/stock lending reliefs.

Further advice

6. If you have any questions about this change, please contact Gareth Hills on 020 7147 2802. Information about Budget measures is available on the Inland Revenue website Inland Revenue website