Property VAT

Construction Reverse Charge process starts on Monday [March 1st]

by Berthold Bauer on February 25, 2021

After a number of postponements, it is here. The new Reverse Charge for Construction Services will take effect from 1 March 2021.  If you have not already put processes in place, it is not too late to do so, and in the main the HMRC guidance is clear and well written https://www.gov.uk/guidance/vat-reverse-charge-technical-guide

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Berthold BauerConstruction Reverse Charge process starts on Monday [March 1st]

Liquidated Damages: retrospective VAT treatment & corrections

by Berthold Bauer on September 8, 2020

Following EU Tribunal Cases (VAT being a European Tax and largely unaffected by Brexit); HMRC have changed their stance on many forms of compensation payment – and with particular regard to the Construction Industry – how Liquidated Damages are treated.

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Berthold BauerLiquidated Damages: retrospective VAT treatment & corrections

COVID-19 VAT Payments deferred

by Berthold Bauer on March 24, 2020

VAT Payments deferred for three months

HMRC have just announced that for any Return falling within the window 20 March to 30 June, payment can be deferred until the year-end. 

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Berthold BauerCOVID-19 VAT Payments deferred

Restitution relief for Disabled Adaptations

by Berthold Bauer on August 30, 2019

HMRC have recently confirmed their stance on ‘lost space’ in relation to the creation of bathrooms using an existing room in a disabled persons home – this was previously known as ‘restitution relief’.

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Berthold BauerRestitution relief for Disabled Adaptations

New HMRC VAT Rules: Building Contractors to become responsible for sub-contractors VAT

by Berthold Bauer on June 21, 2018

A new VAT Accounting procedure is to be implemented in October 2019 whereby the Main Contractor will become responsible for a sub-contractors VAT. In the same way in which the Construction Industry Scheme has addressed the missing tax aspect of labourers and small traders in the construction industry (by placing the burden of tax collection on Main Contractors & Developers); the purpose of the Reverse Charge for Construction Services is to reduce the occurrences of ‘disappearing trader fraud’.

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Berthold BauerNew HMRC VAT Rules: Building Contractors to become responsible for sub-contractors VAT