Zero rate VAT for building work in garden

abc123456

A few months ago, I bought my house, this being more suited to my mobility problems.

However, in the garden area, there was an old decking area, which had a number of steps on it, making it difficult for me to access. I have since had it removed and plan to replace it with a level slabbed patio.

The builder has stated that the patio will need to be ramped for me to use it. When he says ramped, it will need a very slight incline at the access to the patio, and the patio would be level.

I have read the HMRC website re rules for zero rated VAT, and it appears that I would qualify, if someone in the know could confirm this to be the case.

There does`nt appear to be anywhere on the HMRC I can phone to obtain this info.

Many thanks.

Savvy_Sue

I think - although I could be wrong - that it would be for your builder to establish whether or not it's zero rated, and to charge you accordingly, so I'd start by asking them.

Richie-from-the-Boro

abc123456 wrote: »

A few months ago, I bought my house, this being more suited to my mobility problems.

However, in the garden area, there was an old decking area, which had a number of steps on it, making it difficult for me to access. I have since had it removed and plan to replace it with a level slabbed patio.

The builder has stated that the patio will need to be ramped for me to use it. When he says ramped, it will need a very slight incline at the access to the patio, and the patio would be level.

I have read the HMRC website re rules for zero rated VAT, and it appears that I would qualify, if someone in the know could confirm this to be the case.

There doesn't appear to be anywhere on the HMRC I can phone to obtain this info.

Many thanks.

- Savvy_Sue is correct the builder should ask HMRC direct for the reasons below
- if granted [the VAT] it must come off before (1 & 2) work begins, by the builder
- I would get it in writing from the builder before (1) work commences, or be prepared to pay in full
- the builder must also find a (2) supplier of goods & materials who is prepared to zero rate the materials supply
- it can not / is not ever HMRC retrospective

Work such as installing an inside lift / widening inside doors / fitting an inside disabled friendly wet room are clearly for, and it can be argued necessary to suit the specific disabled person's condition.

Work such as widening an existing path across a disabled person's garden would fit the criteria - but not building a new path even though that new path was necessary to suit the disabled person's condition.

It, their decision is all about is "work necessary to suit the disabled person's condition".


Best of luck !

Brassedoff

Richie, you are sort of right, Sue, there is no way any builder will do that. you ask too much of them.

This could be tricky for both the builder and you. I will tell you how I would do it and how most will or tell you to sort it yourself (the work that is).

I owned a company that employed over 30 builders. The most common reason for a Z rating on a job was starting work on a new property before the solicitors exchanged contracts and completed. The work we did was for high range Conservatories.

The law is that in the instance of new property's everything, the house, conservatory, wooden floor was/is all zero rated.

In instances where it was not new (they had moved in a week before), we would write the works order out with the zero rate properties date and leave the customer to claim the VAT that we were going to charge back. If they "bent the truth" with respect to dates, then it was their choice.

At no point would we go down the road of doing the exemption claim on a charge back. We could have been hit with a no go and been hammered on the 17.5% losing profits on the job.

For this reason, I think you are being "ambitious" in this instance. By all means have a go at trying to see if the HMRC will let you have a home improvement at zero rate. It'll be the first I have heard of.

They will simply ask if the works are to be enjoyed by anyone else (be careful, don't be tempted to say no, as they can knock the door.only the lift will be used exclusively by the disabled person. Any wrong doing by you and it will be the VAT and 150% of full amount in the form of a surcharge.

For that reason alone, I think you will have to cough up the VAT and try and reclaim it yourself. No builder, unless they are big house bashers and the work you want is not the sort they would do, will touch it. At best they have a 30 day account at the merchants. For the other items it will be a pro-forma (for the lift which is bespoke) and other supplies.

Get the answer from the HMRC yourself, then get quotes safe in the knowledge that you have the exemption certificate ready to reclaim the VAT on the final invoice.


Finally, I know it to be correct as I project managed and sorted out the contractors for my nephews in house ceiling lift/wet room/new drive/path/zig-zag ramp. I had to claim the dirty stuff back from the HMRC once I had the invoices in.