Changing duty on commercial leases
James, C.
Changing duty on commercial leases - 2003 - Journal of the Law Society of Scotland 48(7) July 2003, 56-7(2) .
Government has proposed radical changes to the amount of stamp duty paid on leases with effect from 1 December 2003. Examines the changes that the Finance Bill will bring to the payment of stamp duty. The existing regime will be replaced by a one percent charge on the Net Present Value (NPV). The NPV equates to the total rent payable over the term, discounted at a rate of 3.5% per annum to reflect that payments due in the future are worth less than if they were payable instantly. Comments that the NPV is not an easy calculation with a number of variables to take into account. Table comparing the proposed stamp duty with the current one.
STAMP DUTY
FINANCE BILL 2003
NET PRESENT VALUE
COMMERCIAL LEASES
VALUE ADDED TAX
Changing duty on commercial leases - 2003 - Journal of the Law Society of Scotland 48(7) July 2003, 56-7(2) .
Government has proposed radical changes to the amount of stamp duty paid on leases with effect from 1 December 2003. Examines the changes that the Finance Bill will bring to the payment of stamp duty. The existing regime will be replaced by a one percent charge on the Net Present Value (NPV). The NPV equates to the total rent payable over the term, discounted at a rate of 3.5% per annum to reflect that payments due in the future are worth less than if they were payable instantly. Comments that the NPV is not an easy calculation with a number of variables to take into account. Table comparing the proposed stamp duty with the current one.
STAMP DUTY
FINANCE BILL 2003
NET PRESENT VALUE
COMMERCIAL LEASES
VALUE ADDED TAX