5.22.1 A qualifying interest in land means a:
freehold interest in land in the UK
leasehold interest in land which is a term of years absolute, where the land in question is in the UK
5.22.2 An agreement to acquire a freehold interest and an agreement for a lease aren’t qualifying interests in land. 5.22.3 In Scotland, references to ‘a freehold interest in land’ mean the interest of the owner, and references to ‘a leasehold interest in land, which is for a term of years absolute’ mean a tenant’s right over or interest in property subject to a lease. 5.22.4 To qualify for this relief you must dispose of the whole of your beneficial interest in the land in question to the charity. 5.22.5 If you grant a lease to a charity either rent-free or below market rent you will not have disposed of the whole of your beneficial interest in the property if you retain the freehold reversion or a head-lease. However, if you grant such a lease you will be treated, for the purposes of this relief, as having disposed of the whole of your beneficial interest. 5.22.6 A person may dispose of the whole of their beneficial interest in land together with any easement, servitude, right or privilege, so far as they benefit that land. For the purposes of this relief, the disposal of the easement etc is treated as the disposal by that person of the whole of his beneficial interest in a qualifying interest in land. 5.22.7 If you own a qualifying interest in land jointly, or in common, with 1 or more other people, relief will only be due if all of you dispose of the whole of your beneficial interest in that land to the charity. If you give property to charity in this way the relief to be allowed to each of you should be agreed upon by all of you. 5.22.8 There are special rules to prevent this relief being used for tax avoidance purposes. In certain circumstances all entitlement to relief can be withdrawn and any tax due can be recovered by assessment. In broad terms, the circumstances in which this will be done are where, within a specified period, you, or a person (including a company) connected with you, becomes entitled to any interest or right in relation to all or part of the land. This doesn’t apply if that person acquires that interest or right for full consideration or as a result of a disposition of property on death. 5.22.9 The specified period is:
for individuals, the fifth anniversary of the normal self assessment filing date for the tax year in which the disposal was made
for companies, the sixth anniversary of the end of the accounting period in which the disposal was made