Land and Buildings Transaction Tax (Scotland) Act 2013 Schedule 7 para 25

Meaning of "financial institution"

Schedule 7 paragraph 25 defines what is meant by a "financial institution" for the purposes of the alternative finance reliefs in the schedule.

• The term "financial institution" takes its meaning from section 564B of the Income Tax Act 2007, which provides a recognised list of qualifying entities.
• The definition covers banks, building societies, and other bodies authorised to carry on regulated financial activities.
• One category normally included in the Income Tax Act definition — persons authorised in another EEA state — is specifically excluded for LBTT purposes.
• Only institutions falling within the modified definition can be a party to an alternative finance arrangement that qualifies for relief under this schedule.