Tax Forum :: Free Tax Advice

HI,

I am currently buying a grade II listed building which has been used for offices since the 1960's. I believe that we can pay 5% VAT rather than 20% on any work being undertaken but I am struggling to convince plumbers, electricians etc. to only charge me 5% - how can I convince them. Also - how do I claim money back when I've paid 20% on tiles, or bathroom furniture etc?

Any help would be greatly appreciated!

Thanks

sam

The 5% rate only applies to purchases of services, not goods. If you intend to sell any of the units, you can claim (correctly charged) VAT.
But, proper paid-for advice is essential for such projects.

Reduced rates also apply for the supply of building material by contractors.

The ideal solution is having a single VAT registered contractor to do the construction/ or create one.

I am struggling to convince plumbers, electricians etc. to only charge me 5% - how can I convince them

Try referring them to section 7 of Notice 708