There are special rules for a shared ownership lease. For all shared ownership leases please refer to our guidance at SDLTM27080.
If at question 2 you have entered F or O you must not complete any of questions 16 to 25.
If the transaction involves:
Select one code to describe the property leased:
SDLT1 Q1 above provides further information about these categories. The code you select for question 16 must correspond with the type of property code selected for question 1.
Enter the date from which the term or period of the lease runs as shown in the lease. In Scotland a lease includes missives of let that are not to be completed by the grant of a new lease.
Please note that on the grant of a new lease (code L) this may not be the same as the start date used in the calculation of tax on the rental element.
The system will not accept a start date earlier than 01/01/1500. For any earlier date enter 01/01/1500.
SDLTM14015 This is the date that the lease is expressed to come to an end, not the break point or review date. If the date is later than 31 December 9999 enter the date as 31/12/9999.
For a periodic tenancy in England and Wales or Northern Ireland enter the date the first period comes to an end.
If an existing lease is acquired or a new lease is granted or treated as granted and, starting from the effective date as shown at question 4, (or, if later, the term commencement date), there are any periods when the tenant will not have to pay rent, show the total number of months for such periods.
Round up to a whole number of months. If there is no rent-free period leave blank.
The system will not accept a figure higher than 99. In the exceptional circumstance that the rent free period is more than 99 months enter 99.
(First part) Show here the starting rent.
On the grant of a new lease or the acquisition of an existing lease:
On the transfer of a freehold, in Scotland ownership, subject to a lease.
If shown in the lease as a rent for a week, month or other period, please convert to the appropriate annual (yearly) amount.
If the rent is in pre-decimal currency for example shillings and pence, please convert to decimal currency and round up to the nearest £1.
If the landlord has elected to charge VAT the rent given should include the VAT.
If the rent varies during any or all of the remainder of the term, show the initial rent.
Second part - Show the date that the rent entered in the first part of the question will end.
If the date that the rent entered in the first part of the question will end exceeds the number of boxes available (for example for a 10,000 year term), please insert the number 9999 at this question.
If a lease has been surrendered (second bullet point above) this will normally be the same as the effective date entered at question 4.
If you answer the second part of this question you must also answer 'Yes' or 'No' in the third part.
Third part - If the amount of rent to be charged after that date is known, answer 'Yes'. If not known answer 'No'.
Show the actual amount of VAT if any, included in the starting rent at question 20 plus any VAT included in the total premium payable shown at question 22.
If the tenant has paid a capital sum (any form of consideration, see question 12) to the landlord or any other person for the grant of a new lease, show the amount here including any VAT payable.
If this transaction is linked to the grant of any other lease, enter the premium only for this lease as returned on this SDLT1. For linked leases see question 13.
For rent payable before the completion of a lease see SDLTM17110.
SDLTM13075 Calculate the net present value (NPV) by applying the formula in paragraph 3 Schedule 5 Finance Act 2003. Include in the calculation any VAT actually payable on the rent. An internet calculator is available on the Stamp Taxes section of the website.
If this transaction is linked to the grant of any other lease enter the NPV only for this lease as returned on this SDLT1. If part or all of the rent on which the NPV is based is contingent or uncertain your calculation must use a best estimate. See SDLTM13135 and also complete form SDLT4.
If there is no NPV, for example for a long lease granted for a premium but with a peppercorn rent, enter 0.
Tax on a premium is calculated on the figure in question 22. The rate of tax is determined by the total at question 13 if this transaction is one of a series of linked transactions.
For non-residential or mixed use leases where the annual rent on a lease is £1,000 or more, the normal zero per cent threshold that would have effect at £150,000 is withdrawn and SDLT is charged at one per cent. Where the annual rent is less than £1,000 then the zero per cent threshold applies for non-residential or mixed use leases.
After applying the formula to calculate the NPV (question 23), calculate the amount of tax.
Please note that the total of NPVs from all linked grants of lease share only one threshold allowance apportioned according to the individual NPV.
Example: linked commercial property leases (not successive leases):
Tax due on lease A 300,000/900,000 x £7,500 = £2,500.
Tax due on lease B 600,000/900,000 x £7,500 = £5,000.
