Hello everyone!
Thank you for reading my post.
The context: I recently purchased a property in London. This property has not been lived in for over ten years. I am planning to live in the property after the renovation works are complete. The renovation works are expected to be carried out by a contracted building team. I have read VAT Notice 708 many times, but I am still conflicted about my position:
1. Am I eligible for VAT reduction to 0% or 5%?
I am confident that I am eligible for the 5% rule to the appropriate works and materials; however, I am unclear as to whether I am eligible for the 0% VAT - if I am eligible for this, can the 0% VAT be processed as the work and materials are carried out or is this done retrospectively through the DIY Housebuilders Scheme Claim Form (and how would this work given that I have contracted a team - would they charge 5% VAT as we go, and then I claim the 5% back after completion, or would they charge 20% VAT as we go, and then I claim the 20% back after completion)?
2. We are planning to rebuild the current roof, and convert the bathroom (on the ground floor) - we will knock down the existing structures and rebuild them - is the proportion of the works according to the original size applicable for reduced or zero VAT, or is the whole new structure (including the extension) applicable for reduced or zero VAT?
3. Please advise on anything else we we need to consider with this renovation project.
Thank you for any insight you can offer!
Best,
James
- Home
-
Tax News
- Budgets and Autumn Statements
- Income Tax
- Business Tax
- PAYE and Payroll Taxes, National Insurance, NICs
- Company Taxation
- Savings & Investments, Pensions & Retirement
- Capital Gains Tax, CGT
- Property Taxation
- Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
- Tax Investigations & Enquiries
- VAT & Excise Duties
- Stamp Duty, Stamp Duty Land Tax, SDLT
- International Tax
- HMRC Administration, Practice and Methods
- Professionals in Practice & Industry
- General
- TaxationWeb
-
Tax Articles
- Budgets and Autumn Statements
- Income Tax
- Business Tax
- PAYE and Payroll Taxes, National Insurance, NICs
- Company Taxation
- Savings and Investments, Pensions and Retirement
- Capital Gains Tax, CGT
- Property Taxation
- Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
- Tax Investigations & Enquiries
- VAT & Excise Duties
- Stamp Duty, Stamp Duty Land Tax, SDLT
- International Tax
- HMRC Administration, Practice & Methods
- Professionals in Practice & Industry
- General
- Tax Tips
-
Tax Forum
- Income Tax
- Business Tax
- PAYE and Payroll Taxes, National Insurance, NICs
- Company Taxation
- Savings & Investments, Pensions & Retirement
- Capital Gains Tax, CGT
- Property Taxation
- Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
- Tax Investigations and Enquiries
- VAT & Excise Duties
- Stamp Duty, Stamp Duty Land Tax, SDLT
- International Tax
- HMRC Administration, Practices & Methods
- Professionals in Practice & Industry
- General
- Tax Jobs
- Get in Touch