Increasing exemptions to additional properties tax
Legislation enabling councils to increase their affordable housing stock without having to pay a tax on additional properties has been introduced in the Scottish Parliament.
Under changes to the Additional Dwelling Supplement (ADS), paid as part of Land and Buildings Transaction Tax, the length of time a buyer moving between properties has to sell their original home in order to be able to reclaim ADS would also be extended from 18 months to 36 months.
Other changes include an exemption for people buying a new property to live in after divorce or separation if they are required by court to keep their previous home. Further amendments will exempt buyers from paying ADS on a property for which missives have been signed when a separate property has been inherited in the meantime.