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VAT

Last post Wed, Jul 09 2008, 6:45 PM by conmankiller. 3 replies.
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  •  Sun, Jul 06 2008, 8:15 PM

    Hi I have a second house that I am about to do up and build an extension on.I was wondering would I be able to claim the V.A.T back on the extension,as I could on a new build.If so how do I go about it.Cheers.
    • Post Points: 20
  •  Tue, Jul 08 2008, 6:09 PM

    Re: VAT

    Hi --- VAT paid on materials used in connection with building a home can be reclaimed from the Inland Revenue (although a few items are excluded). However, this can only be done ONCE with any building project, which is why people building their own home will try to finish the project completely before reclaiming the VAT, as they
    cannot reclaim VAT on later additions such as a garage or conservatory.

    Therefore, if you are simple adding an extension to an already completed home, you cannot reclaim the VAT.
    • Post Points: 20
  •  Wed, Jul 09 2008, 6:15 PM

    Re: VAT

    Thanx for that,I should of said that the house is getting divided into two houses.So when I went for planning and the building warrants the the house was getting treated as two new builds,so maybe they might be treated as such.What do you think,cheers
    • Post Points: 20
  •  Wed, Jul 09 2008, 6:45 PM

    Re: VAT

    Hi --- I think in that case it would be classed as a conversion or division of an existing building and not a new build, in that case I doubt you would be allowed VAT relief..... but to be certain, drop by your local HMRC office and pass your plan by a tax inspector for their opinion.
    • Post Points: 5