McArthur seeks First Minister's help for Orkney couple hit by second home tax for Ukrainian property

Orkney's MSP Liam McArthur has today urged the First Minister to intervene in a case that has seen a couple in Orkney hit with a £9000 Additional Dwelling Supplement charge for a property in Ukrainian capital, Kyiv.

Mr McArthur's constituent was in the process of trying to buy his first home with his partner, who fled Ukraine at the height of the war in 2023 and still owns a flat in Kyiv, when they were told they must pay the ADS penalty.  

This is despite the fact that the property is based in an active conflict zone, and there is no prospect of Mr McArthur's constituents returning to or making use of the flat.  

Orkney's MSP originally wrote the Deputy First Minister over the summer, who advised that the government was unable to apply an exemption in this instance.  

In response to Mr McArthur's question this afternoon, the First Minister agreed that this is not in keeping with the purpose of the tax and asked Mr McArthur to provide the Deputy First Minister with further details so the case could be taken up with Revenue Scotland.  

Commenting after the exchange, Mr McArthur said:  

"Having fled an active war zone, it is utterly ridiculous to suggest that my constituents should be made to pay thousands of pounds in additional tax in order to purchase property here in Scotland. 

"When I wrote to the Scottish Government over the summer, however, the Deputy First Minister insisted that an exemption could not be applied.  

"That was extremely disappointing so I welcome the First Minister’s willingness to look again at this case. He is right to acknowledge that applying the charge in this instance is not in line with the purpose of the legislation, which is intended to capture multiple home ownership here in Scotland.

“Hopefully this will pave the way to a more reasonable resolution for a couple with enough on their plate at the moment."