WIREDGOV

Update on our Land Transaction Tax (LTT) services and guidance for tax professionals.

We’re reviewing our LTT updates. Tell us what you think (takes 30 seconds). 

Extension to higher rates refund period for fire safety defects and emergency situations 

To help homebuyers who struggle to sell homes affected by fire safety cladding issues the Welsh Government have changed the higher residential rates rules to extend the 3-year refund and exception periods. 

For more information, see our higher rates technical guidance: 

• replacement of main residence 
• fire safety defects 
• relevant restrictions 

Use our online form to claim back LTT paid at the higher rate.  

Self-assessment guidance for LTT 

When you complete an LTT tax return, it's important you correctly answer the question "Do you need to make a self-assessment?". You then need to enter the tax that's due.  

For 95% of LTT returns, our LTT calculator will calculate the tax for you. You can then agree or disagree with the amount.   

In a small number of cases, the calculator does not calculate the tax for you. Instead, it asks if you want to self-assess. This could happen when you:  

• enter more than 1 piece of land  
• claim a relief (full or partial)  
• have contingent consideration or uncertain events  
• have a linked transaction   

You should answer 'yes' to a self-assessment, even if it's to enter the tax due as £0. You only answer 'no' if you're claiming full relief.  

If you answer ‘no’, the calculator will put the tax due as £0, this amount is not always correct. We’ve been contacting agents and taxpayers to correct this. Entering the wrong amount could result in additional tax, interest, and penalties.  

Use our LTT calculator and LTT guide to help calculate the tax. Or contact us for support.  

We're currently reviewing the system and considering changes to this question. If you'd like to share any feedback about the question, please contact us at haveyoursay@wra.gov.wales.  

Which address to use on the LTT return 

When you submit an LTT return for your client, we ask for: 

• the correspondence address (where your client lives) 
• the land address (what your client has bought) 

It’s important both of these addresses are correct. We’ll also use the correspondence address to share information with your client.  

If your client is moving into the property they’re buying 

Enter the correspondence address as the address of their new property. The correspondence address and the land address will be the same. 

If your client is not moving into the property they’re buying 

Enter the correspondence address as where they currently live. The correspondence address and the land address will be different. 

Our next LTT forum 

Following the success of our in-person LTT forum in Swansea, we’re planning to hold another one later this year.  

Our free forums: 

• are for solicitors, conveyancers and their teams who file and pay LTT 
• provide workshops on the topics you’ve told us you’d like us to cover 
• are a chance for you to meet some of the people who work in the Welsh Revenue Authority and talk about our services 

We’ll let you know in this newsletter and on our training and events page when our next forum is open for bookings.   

Useful tools 

We’ve different tools to help with LTT. We encourage you to use them and give us your feedback and ideas to develop them. 

Land Transaction Tax calculator

Use this calculator to help you work out how much tax you may need to pay if you buy property or land in Wales. 

Check if a postcode is in Wales 

Use this checker to see if the postcode of land or property is in Wales for LTT. 

Land Transaction Tax with multiple dwellings relief calculator

Use this calculator to help work out the tax due on transactions if claiming multiple dwellings relief (MDR). 

Higher Rate of Land Transaction Tax checker 

Use this tool to check whether the higher rate of LTT applies to a transaction. 

Help us improve our services 

We’re always looking to make our services easier to use and to make sure what we do meets your needs. Your feedback is an essential part of that. To get involved, email haveyoursay@wra.gov.wales and we’ll let you know about our upcoming user research sessions.   

Taking part is voluntary and you can opt out at any time. We won’t share your contact details with any third parties or use them for marketing purposes. Read more in our privacy policy.

Related Links

• Land Transaction Tax(Sub-topic)

  • Land Transaction Tax for professionals