VCONST03240 - Zero-rating major interest grants in buildings: major interest grants: time share and other leases which are not continuous
When considering leases that are not for a continuous length of time, there are two factors that need to be considered, namely whether the lease is:
- a 바카라 사이트˜major interest바카라 사이트™ grant
- excluded from zero-rating by the 바카라 사이트˜holiday home바카라 사이트™ provisions (VCONST03400).
The lease is a 바카라 사이트˜major interest바카라 사이트™ grant when the sum of the interests making up the lease is equivalent to the grant of a major interest (that is it totals over 21 years or 20 or more years in Scotland).
In Cottage Holiday Associates Limited ([1983] STC 278), the High Court considered a time-sharing tenancy agreement. The appellant argued that an 80-year lease that provided for the right to occupy for one week each year was a major interest grant. The appeal was dismissed.