This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

DIY vat reclaim

jeffbeggs
Posts: 3
Joined: Sun Aug 26, 2018 1:23 pm

DIY vat reclaim

Postby jeffbeggs » Sun Aug 26, 2018 1:38 pm

Hi thanks in advance-

We built a new house, and it has been rated since 2012. We have slowly finished this project, and got a certificate of completion in April 2018. We then sent in our claim for VAT but have been turned down. We have been told instead of using the certification of completion, we should have claimed on -

Under regulation 201 the claim should be submitted no later than three months after construction of the building is complete

Completion takes place at a given moment in time. The point in time is determined by weighing up the relevant factors of the project such as

1 When a certification of completion is issued

2 the accordance to approved plans and spec

3 the scope of the planning consent and variations to it

4 whether the building is habitable or fit for purpose

HMRC believe i should have claimed around year 2016 as the building was habitable at that stage. Any advice would be great.

Jeffrey

bibescu
Posts: 19
Joined: Tue Sep 21, 2010 9:33 am

Re: DIY vat reclaim

Postby bibescu » Sun Aug 26, 2018 10:47 pm

https://www.taxationweb.co.uk/forum/vat-diy-rebate-rejected-t33423.html

les35
Posts: 566
Joined: Wed Aug 06, 2008 3:09 pm

Re: DIY vat reclaim

Postby les35 » Tue Aug 28, 2018 10:21 am

HMRC guidance on 'completion' is unclear (their bullet points 1-4), but you will need to present a good reason why your date is to be preferred. And be prepared to argue it at Tribunal too.

davebrownvat
Posts: 57
Joined: Mon Jul 20, 2009 4:37 pm

Re: DIY vat reclaim

Postby davebrownvat » Thu Aug 30, 2018 5:19 pm

I have an identical case, for which I have lodged a First Tax Tribunal appeal, a month or two back. Please PM me and I'll keep you posted on the progress. I'm also aware of another similar case as well, so it seems that this is another clutching at straws refusal by HMRC. Please let me know the date of refusal letter.

Regards
Dave

Squirrelly
Posts: 1
Joined: Sun Sep 23, 2018 10:37 pm

Re: DIY vat reclaim

Postby Squirrelly » Sun Sep 23, 2018 11:06 pm

Hi,

I am having same issue. HMRC.are.saying I should have applied in 2013 and not 2018 when we got building control. For me, building control seemed to be main document and advise by building control and architects.was.to apply 3 months from building control. Also it was highlighted that you can only claim once so ensure as much done as possible. How are we suppose to know the internal workings of HMRC?
Delays in completing and.getting build control were due to family circumstances, caring responsibility.
We have just put the floor boards down upstairs which I would consider construction but I have no proof of this as it was done by family members.

Any help on this matter appreciated as appears a lot of people refused for this reason and i want to know how/if they got it overturned. Need guidance as I have to get back to them to review decision.

Keano15
Posts: 1
Joined: Tue Nov 27, 2018 8:26 am

Re: DIY vat reclaim

Postby Keano15 » Tue Nov 27, 2018 10:07 am

Hi,

Although I'm still waiting on a decision from the Vat, I'm having the exact same problem.

We had to sell our house in December 2017 and had been building it from June 2008, just as the market went bust. Moved in around 2011 when it was half complete and continued to work away ourselves to try and get it completed, as funds allowed. Finally finished work to get our completion certificate in November 2017 and filed for Vat reclaim within 3 months of our completion certificate being issued. That was January 2018 and after quite a few letters querying the build, we received a letter in June saying it had been passed to a technical advisor. Yesterday, after months of being on hold for 20-30 minutes every time we called and around 20 different excuses, we finally received a call from a technical adviser. Apparently there are only 3 advisers in the country which is why it has taken so long. They said we should have claimed when we moved in. I explained that we had to move in to finance it and to claim while the build was still ongoing would penalize us due to all the work still remaining, with no way of claiming vat back on it. They did not have an answer and actually admitted that they are "working on making the wording clearer".

Apparently we'll get a decision this week so I'll update when this comes in and we are heading to a tribunal as expected.

jeffbeggs
Posts: 3
Joined: Sun Aug 26, 2018 1:23 pm

Re: DIY vat reclaim

Postby jeffbeggs » Wed Dec 19, 2018 8:13 am

Hi Folks

Just an update . The service i have been given by the vat office is horrendous. No replies to emails, no records of telephone queries, cut off when you are on the phone mid sentence. Phone numbers dont ring if they are too busy. These people work for society, i have an issue with their behaviour, do they not have a duty of care in all this?

If it was a private buisness they would close due to care to the client, they are only civil servants.

But reading string, i reckon no one will get any money back, due to possibly lack of money in the system, But i will carry on asking a questions and will make them work for not paying 16K.

Merry Xmas


You would be better of on the dole claiming all benefits rather than be a tax and vat paying person. The world is upside down. If i was a migrant they would be throwing money at me. Eu or no EU its our Civil Service mentality that is the major problem , could you see this happening in France

Rant over LOL

pawncob
Posts: 4389
Joined: Wed Aug 06, 2008 4:06 pm
Location: West Sussex

Re: DIY vat reclaim

Postby pawncob » Wed Dec 19, 2018 1:38 pm

No, I can't see this happening in France, because they can't reclaim the 19.6% TVA they suffer!
With a pinch of salt take what I say, but don't exceed your RDA

jeffbeggs
Posts: 3
Joined: Sun Aug 26, 2018 1:23 pm

Re: DIY vat reclaim

Postby jeffbeggs » Wed Dec 19, 2018 7:13 pm

The British are definitely over zealous with their paperwork

davebrownvat
Posts: 57
Joined: Mon Jul 20, 2009 4:37 pm

Re: DIY vat reclaim

Postby davebrownvat » Thu Dec 20, 2018 12:36 pm

An update on my main case. HMRC have dug their heels in and we'll be going to the Tax Tribunal some time between January and the end of April. I'm also dealing with another owner, who does not relish the Tribunal system, who is now going to complain to HMRC, with a view to going to the Adjudicator's Office. (You have to complain to HMRC first...) He is also complaining to his MP, but in the current chaos, I don't know how successful it might be.

I also heard from another owner - moved in 2012, made claim 2018. The first substantive line in the HMRC query letter was : “You occupied the property from 20/11/2012 and this indicates that your new build may have been substantially complete around that time. " I find that appalling.

Behind the scenes, though, there is a committee called the JVCC, comprising representatives from the accountancy bodies and from HMRC. This topic has been brought up recently, producing a response from HMRC that the rules haven't changed. [For which read "We're right"] A couple of the members on 'our side' have agreed that they ought to get HMRC around the table on this. I'll keep you posted if this happens


Return to “VAT & Excise Duties”