Stamp Duties Consolidation Act 1999 section 54

Leases deemed to operate as voluntary dispositions inter vivos

Section 54 allows stamp duty to be assessed on the value of any benefit passing to the lessee where a lease confers a substantial benefit on the lessee.

• A lease not executed in good faith and for valuable consideration is deemed to operate as a voluntary disposition inter vivos
• Revenue may treat consideration as inadequate where the lease confers a substantial benefit on the lessee, having regard to the inadequacy of consideration or other circumstances
• Where a lease is deemed a voluntary disposition, a capital payment equal to the benefit passing is imputed and charged to stamp duty as if it were a premium
• The imputed premium is the minimum additional amount that would have been needed, with the rent unchanged, to bring the lease up to full market value