Force builder to give VAT receipt?

tired_dad

I don't get this.

Agree a price for a job. Pay the proce for the job. Happy with the job.

Move on.

When you buy anything the VAT is paid to the vendor. We don't know what they do with it. If the government really wanted to sort this then they would insist we pay the VAT directly to them without going through the vendor.

Personally, life is to short. The VAT system is arcane and difficult to sort out.

martinsurrey

tired_dad wrote: »

I don't get this.

Agree a price for a job. Pay the proce for the job. Happy with the job.

Move on.

When you buy anything the VAT is paid to the vendor. We don't know what they do with it. If the government really wanted to sort this then they would insist we pay the VAT directly to them without going through the vendor.

Personally, life is to short. The VAT system is arcane and difficult to sort out.

If this is part of a new build or bringing a derelict house back to habitable standard the work could be zero or reduced rate for VAT, meaning without a VAT receipt the OP wouldn't be able to reclaim the VAT, making the work 15-20% more expensive.

OP, shop him to HMRC and see how they deal with it.

southcoastrgi

martinsurrey wrote: »

If this is part of a new build or bringing a derelict house back to habitable standard the work could be zero or reduced rate for VAT, meaning without a VAT receipt the OP wouldn't be able to reclaim the VAT, making the work 15-20% more expensive.

OP, shop him to HMRC and see how they deal with it.

Vat is 20% not 15-20%
It could be 5% for energy efficient controls
If it's new build the OP wouldn't have been charged vat at all
You can't reclaim vat if you aren't vat regd

martinsurrey

southcoastrgi wrote: »

Vat is 20% not 15-20%
It could be 5% for energy efficient controls
If it's new build the OP wouldn't have been charged vat at all
You can't reclaim vat if you aren't vat regd

sigh...

vat is 0% 5% or 20% the difference between the 20% rate and the other rates is 15% 20% or 0%.

https://www.gov.uk/vat-building-new-home/overview

You do not need to be vat registered to reclaim VAT incurred on construction of residential buildings (if the build meets the the criteria in the link above).

you fill in a VAT Notice 431NB form.

while the main contractor may not have charged VAT, if any subbies or suppliers have, you can reclaim the VAT at the end of the build.

And I said 15%-20% as if a property is left unoccupied for more than 2 years, VAT is due at 5%, if you've paid 20%, you've overpaid by 15% (if left for more than 10 years, or new build its 0% and you've overpaid by 20%), but I had forgotten that for the 5% to be applicable you must have prior agreement with HMRC and use registered contractors.

southcoastrgi

If & when the OP ever decides to log on apart from asking a question then not logging on again to see any answers I might reply