On 1st April 2016, Revenue Scotland introduced an additional amount of Land and Buildings Transaction Tax (LBTT) known as the Additional Dwelling Supplement (ADS). Generally, ADS is due on the purchase of additional dwellings (houses) in Scotland such as buy-to-let properties and second homes, although its extent can be far-reaching. From 25th January 2019, ADS is charged on 4% on the whole ‘relevant consideration’ (usually the purchase price).

If you believe that ADS may apply to you or wish to discuss ADS or your personal circumstances in more detail, please contact a member of our team.

There are also a number of helpful guidance documents and case studies available from Revenue Scotland which can be accessed on their website at the link below.

https://www.revenue.scot/land-buildings-transaction-tax/guidance/lbtt-legislation-guidance/lbtt10001-lbtt-additional-dwelling