Nearly's permitted development

spikeislander

Member
Location
bedfordshire
How did you get on regarding the vat? We firstly got advice which said keep it all separate then at the end we should be able to get a percentage back. A neighbour who has just finished theirs has told me its about as clear as mud!
a few points as I understand it. As a barn conversion for family use.
Materials used you can claim back all the %20
labour i.e builders help at 5%
If you hire something you cant get the vat back? but if the builder hires something for the job its 5% same as his labour, but if he buys materials its 5% the same as his rate and not all claimable like if you bought it yourself.
loads of other variables which seem unduly complicated?
As I understand as a barn conversion the builder should be charging 5% vat but he hasnt heard of this and my neighbours were unable to get the builder to charge 5% we were under the impression that we keep all invoices and then hmrc will adjust and return the relevent vat after the job is completed. ( the obvious and easy way)
Any body shed some more light on this? we ahve our accountants having another look.
 

Nearly

Member
Location
North of York

David.

Member
Mixed Farmer
Location
J11 M40
Our accountant is saying that if conversion is to be farmhouse (ours is), then you can reclaim 70% of vat paid on materials/services used on project.
Or employ a main contractor and pay flat 5% non reclaimable.
 

spikeislander

Member
Location
bedfordshire
Yes I read that and its still a mystery!
Thanks though. Made a few errors like the roofers supplied and fitted roof , in hindsight I should have bought the materials.
Hopefully I might be able to track back and get some invoices rejigged.
 

spikeislander

Member
Location
bedfordshire
This is the trouble there doesnt seem to be a standard answer, @Nearly did you have to pay a CIL (community infrastructure levy) we do which they come up with the figure at the start but its never charged if we live in it for 3 years
 

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