Communicating with Revenue Scotland

Latest updates:
13/07/2020
Land and Buildings Transaction Tax – temporary extension of nil rate band for residential property transactions
29/06/2020
Phased reopening of Revenue Scotland telephone support desk
25/06/2020
Additional Dwelling Supplement – Online payment service now available
28/05/2020
Additional Dwelling Supplement repayment claims
21/05/2020
Land and Buildings Transaction Tax
Changes to support desk arrangements
Updated instructions for filing LBTT and Scottish Landfill Tax returns
Making claims for repayment of Additional Dwelling Supplement

Land and Buildings Transaction Tax – temporary extension of nil rate band for residential property transactions

The Scottish Government has confirmed that it is to temporarily increase the nil rate band for Land and Buildings Transaction Tax (LBTT) residential property transactions from £145,000 to £250,000. This change will be introduced from Wednesday (15 July 2020) and will remain in place until 31 March 2021.

Rates for the Additional Dwelling Supplement (ADS) and non-residential LBTT remain unchanged.

Residential transactions for consideration of £40,000 or more will still require to be notified to Revenue Scotland even if no tax is due.

Purchase price

LBTT rate

Up to £250,000

0%

Above £250,000 to £325,000

5%

Above £325,000 to £750,000

10%

Over £750,000

12%

 

Revenue Scotland has updated its guidance to reflect these changes. The guidance – which includes information on calculating the amount of tax that is due, information on making an online LBTT return and guidance for users of the Scottish Electronic Tax System (SETS)  on identifying first-time buyers and corrections that should be made to such returns – can be found here.

Revenue Scotland would welcome feedback from users of SETS on the operation of the system.

Phased reopening of Revenue Scotland telephone support desk
Revenue Scotland is to reopen its telephone support desk on a phased basis from Wednesday 1 July, when its main telephone enquiry line will reopen for service. The support desk telephone number is 03000 200 310.

Revenue Scotland staff will take calls and provide support while working remotely. The phone line will be operational five days per week (Monday – Friday) between 10.00 – 12.00 and 14.00 – 16.00.

Further information is available on the Revenue Scotland website.

Additional Dwelling Supplement – Online payment service now available
Revenue Scotland has introduced a new functionality to the Scottish Electronic Tax System (SETS) system that allows Taxpayers to claim repayment of Additional Dwelling Supplement (ADS) now entirely online.

Taxpayers would previously have submitted claims for repayment of ADS using a paper claim form and posting to Revenue Scotland; enhancements now introduced to the online tax collection system mean Taxpayers can submit claims electronically via SETS.

More information and guidance is available on the Revenue Scotland LBTT How to guidance pages.

Additional Dwelling Supplement repayment claims
Revenue Scotland has updated its guidance to reflect the changes to the timeframe for repayments of the Additional Dwelling Supplement (ADS) contained in the Coronavirus (Scotland) (No.2) Act 2020.

The legislation increases the timeframe by which some buyers can dispose of their previous main residence and still be eligible for a repayment of ADS from 18 to 36 months. It will apply to buyers who purchased a new main residence prior to 25 March 2020, with an effective purchase date of between 24 September 2018 and 24 March 2020.

More information is available on the Revenue Scotland website: COVID-19 ADS Repayment Claims.

Land and Buildings Transaction Tax
On Wednesday 20 May, the Scottish Parliament has passed the Coronavirus (Scotland) (No 2) Bill. It includes a provision to extend the period for selling a previous main residence in order to claim repayment of the Land and Buildings Transaction Tax (LBTT) 4 per cent Additional Dwelling Supplement (ADS) from 18 months to 36 months. The Scottish Government had originally suggested an extension from 18 to 27 months but agreed to accept an opposition amendment to extend this period by a further 9 months. This extension will apply where the effective date of the purchase of the new main residence fell within the period beginning with 24 September 2018 and ending 24 March 2020. The provisions also enable Scottish Ministers to extend this period further by order.

Revenue Scotland are responsible for the management and collection of Scotland’s devolved taxes. These are Land and Buildings Transaction Tax (LBTT, the devolved version of Stamp Duty Land Tax) and Scottish Landfill Tax.

As a result of the COVID-19 situation, Revenue Scotland has modified its tax services but continues to work to normal operating hours.

You can keep up to date with Revenue Scotland’s ongoing operations to mitigate the impact of COVID-19 via its dedicated COVID-19 update pages.

Revenue Scotland will update its pages regularly for the period that measures are in place to respond to the COVID-19 pandemic.

A summary of the most recent developments can be found below. Please consult the Revenue Scotland website for further information.

Support desk
Revenue Scotland’s telephone support desk is currently unavailable.
Agents with access to SETS (The Scottish Electronic Tax System) should contact Revenue Scotland via the online secure message service.
Otherwise, taxpayers or agents should make contact by email:
LBTT queries – lbtt [at] revenue.scot
SLfT queries – slft [at] revenue.scot
Non-tax queries - info [at] revenue.scot
Where the query involves taxpayer information, Revenue Scotland are asking you to read the Email Disclaimer in the Contact Us section of their website and send an email to them with the following text as a declaration: 'I hereby confirm that I accept the risk of communication with Revenue Scotland by email and consent to using this for future communication'. With this declaration, Revenue Scotland can continue to communicate with you by email.
Payments to Revenue Scotland
Cheques received after 23 March will be subject to delay in processing.
From 1 May, Revenue Scotland will no longer be able to accept payments made by cheque.
Agents with a Direct Debit mandate are encouraged to submit any new returns using this method.
All other payments should be made by BACS.
Paper Returns
Paper forms submitted by post can no longer be accepted.
All LBTT and SLfT returns made from 1 May 2020 must be submitted online using the SETS system.
Revenue Scotland will commence an exercise of reaching out to firms currently submitting paper returns to advise of these changes and to offer support and assistance in getting firms operational on SETS.
Taxpayers should make their LBTT lease review returns online.
There is a replacement online form to be completed and submitted for all joint tenant buyer transactions.
Claims for repayment of Additional Dwelling Supplement (ADS)
Agents submitting or making amendments to ADS Repayment claims should use SETS.
An online form is available for taxpayers making the repayment claim for themselves.
For more information go to the Revenue Scotland website.