UK Treasury published the Special tax sites (applicable sunset date) regulations 2024 and UK HMRC published a policy paper on extension of the window to claim tax reliefs.
Follows UK Treasury Mar. 2024 published legislation designating 4 sites, see #205144.
Policy Paper
The UK HMRC Policy Paper confirmed that the new sunset dates for the reliefs are Sep. 30, 2031 for all Special Tax Sites for English Freeports, as well as Sep. 30, 2034 for all Special Tax Sites for both of the Scottish Green Freeports, and the Welsh Freeports.
A date of Sep. 30, 2034 has also been set for Special Tax Sites in Investment Zones.
Extending the duration of the tax reliefs available in Freeport and Investment Zone special tax sites from 5 to 10 years will deliver benefits to businesses to stimulate investment and provide greater certainty to investors to maximize program’s impact.
Regulations Summary
The new Statutory Instrument (StIn 2024/574) provides for legislation to create new regulations that are designed to extend the original sunset date for Special Tax Sites.
Regulation 2(1)(a) amends the applicable sunset date from Sep. 30, 2026 to Sep. 30, 2031 for Special Tax Sites situated within a freeport in England, and Special Tax Sites which were considered to carry on, or likely to carry on, freeport activities in England.
In addition, the text of Regulation 2(1)(b) amends the applicable sunset date for all of the other types of Special Tax Sites from the current Sep. 30, 2026 to Sep. 30, 2034.
A Tax Information and Impact Note on the instrument will be published on website.
Effectiveness
New regulations on amended sunset dates for Special Tax Sites in force May 21, 2024.
