Disabled bathroom

[shotokan]

A client is fitting a wet room for a disabled person. However, it seems that apart from the actual shower fitting, the rest of it ie flooring, shower surround etc are not designed solely for use by a disabled person. Is it all standard-rated in that case or can the invoice be separated into its zero-rated and standard-rated elements?

All comments are appreciated.

[spidersong]

From what you've said it looks like you're looking at the wrong part of the notice or legislation on this one.

Whilst goods designed for a disabled person can be supplied VAT free under Item 2 of Group 12 to Schedule 8 of the VAT Act, Item 10 allows that you can zero rate: "The supply to a handicapped person of a service of providing, extending or adapting a bathroom, washroom or lavatory in his private residence where such provision, extension or adaptation is necessary by reason of his condition."

So if the person needs a downstairs bathroom where they only have an upstairs one, or they need a larger bathroom to manouver a wheelchair, or they need a special shower and need the flooring doing and layout changing to accomodate this, etc. then the construction services including any goods supplied and fitted by the builder can be zero rated (with the appropriate certificate).

You may want to look at Para 6.3 of notice 701/7 "VAT reliefs for disabled people" : http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageLibrary_ShowContent&propertyType=document&columns=1&id=HMCE_CL_000184#P273_27447

If you do find you are making seperate supplies of eligible and inelligible items than you can split the invoice or even invoice the zero rated supplies seperately if necessary, but I'd imagine in the immediate case that the entire service can be zero rated, although this is impossible to say definitively without more background and detail.

[shotokan]

Many thanks for a comprehensive reply. That tells me everything I need to know.

[RAL]

Hi spidesong

Where are you based? Do you have your own practice? I may have something which I would need help for.

[Acero]

From what you've said it looks like you're looking at the wrong part of the notice or legislation on this one.

Whilst goods designed for a disabled person can be supplied VAT free under Item 2 of Group 12 to Schedule 8 of the VAT Act, Item 10 allows that you can zero rate: "The supply to a handicapped person of a service of providing, extending or adapting a bathroom, washroom or lavatory in his private residence where such provision, extension or adaptation is necessary by reason of his condition."

So if the person needs a downstairs bathroom where they only have an upstairs one, or they need a larger bathroom to manouver a wheelchair, or they need a special shower and need the flooring doing and layout changing to accomodate this, etc. then the construction services including any goods supplied and fitted by the builder can be zero rated (with the appropriate certificate).

If you do find you are making seperate supplies of eligible and inelligible items than you can split the invoice or even invoice the zero rated supplies seperately if necessary, but I'd imagine in the immediate case that the entire service can be zero rated, although this is impossible to say definitively without more background and detail.

I definitely agree with your statement. It's been a long time when I read this VAT reliefs for disabled people. You can notify all your inquiries here.

[Generix]

Completely agree with Spider above.

If you're basically doing up or replacing the bathroom - it's unlikely to qualify just because they are disabled.

If you are adapting it so that it better suits them (with elligible equipment etc) then its more likely to be ZR.

Is a cert filled out by the disabled person?

(could this be the next follow on to the disabled car fraud - disabled bathroom fraud ;p)