CB 16 Residential exclusion from sections CB 6 to CB 11
Exclusion

(1)

Sections CB 6 to CB 11 do not apply if—

(a)

the person (person A)

(i)

acquired the land with a dwellinghouse on it; or

(ii)

acquired the land and erected a dwellinghouse on it; and

(b)

the dwellinghouse was occupied mainly as a residence by,—

(i)

person A:

(ii)

if members of person A’s family live with them, person A and members of person A’s family living with them:

(iii)

if person A is a trustee, 1 or more beneficiaries of the trust.

What exclusion applies to

(2)

The exclusion applies to the land that has the dwellinghouse on it. It also applies to land related to the land that has the dwellinghouse on it if the total area of the related land is—

(a)

4,500 square metres or less; or

(b)

more than 4,500 square metres, if the larger area is required for the reasonable occupation and enjoyment of the dwellinghouse.

Exception

(3)

The exclusion does not apply when—

(a)

section CB 6(1) applies to the disposal; and

(b)

person A has engaged in a regular pattern of acquiring and disposing of land described in subsection (1).

Regular patterns undertaken by groups of persons

(4)

For the purposes of subsection (3), in relation to land described in subsection (1), person A includes a group of persons if the requirements of subsection (5) are met.

Meaning of group of persons

(5)

For the purposes of subsection (4), a group of persons

(a)

means 2 or more persons when together all of the persons occupy, or have occupied, land described in subsection (1); and

(b)

includes a person other than a natural person (the non-natural person), if another person referred to in paragraph (a) has significant involvement in, or control of, the activities of the non-natural person. For the avoidance of doubt, if the other person is able to direct, alone or as part of a group, the activities of the non-natural person, they have significant involvement in, or control of, the activities of the non-natural person.

Defined in this Act: dispose, group of persons, land, trustee

Compare: 2004 No 35 s CB 14

Section CB 16(1)(a): amended, on 30 March 2021, by section 11(1)(a) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(1)(b): replaced (with effect on 1 April 2008), on 18 March 2019, by section 123(1) (and see section 123(3) for application) of the Taxation (Annual Rates for 2018–19, Modernising Tax Administration, and Remedial Matters) Act 2019 (2019 No 5).

Section CB 16(1)(b)(i): amended, on 30 March 2021, by section 11(1)(b) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(1)(b)(ii): amended, on 30 March 2021, by section 11(1)(b) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(1)(b)(ii): amended, on 30 March 2021, by section 11(1)(c) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(1)(b)(iii): amended, on 30 March 2021, by section 11(1)(b) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(3) heading: replaced, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(3): replaced, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(4) heading: inserted, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(4): inserted, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(5) heading: inserted, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16(5): inserted, on 30 March 2021, by section 11(2) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).

Section CB 16 list of defined terms group of persons: inserted, on 30 March 2021, by section 11(3) of the Taxation (Annual Rates for 2020–21, Feasibility Expenditure, and Remedial Matters) Act 2021 (2021 No 8).