Power is likely to be a stampable document. Option may be executed overseas. Company A then surrenders benefit of option to buyer. The Court of Appeal has recently held that the Revenue, to assess duty, is entitled to be informed of all material circumstances. This includes offshore declarations of trust of equitable interest and so would seem to include options or other documents intended to achieve a similar result.
Interest runs from date of execution.
Not clear whether refund will be given where a lease is never completed. One way of avoiding the stamping of an agreement for lease ad valorem is to substitute a nominee as tenant and subsequently assign the agreement to the intending tenant. The use of cross options may not avoid a charge to duty as the mere entry into an option may be regarded as an agreement. If you have any comments or questions based on this bulletin, please contact Charles Farrer or Peter Brown. This bulletin has been produced by the Property Investment and Development Group.