Claiming VAT back on my new build

Issy_81

I am having a bungalow built and my builder is ordering items for the build to claim the VAT back.

I understand that only one claim can go in per new build. If I save invoices for qualifying items which I have purchased can these be included in the single claim that he puts forward or do all items have to be paid for by the builder?

I ask as there are lot of items which would be far easier for me to order rather than hassling him every time.

Thanks for your help.

Jeremy535897

Study https://www.gov.uk/vat-building-new-home and the subsequent pages and links.

tacpot12

According to the link supplied by Jeremy535897, the builder should not be charging you VAT on the new build, and you are not able to claim any VAT back on anything you buy because you are not building the bungalow, the builder is. Your contract with the builder should specify what he is responsible for, and that should include all the fixtures and fittings, so he can buy them without you being charged VAT on them. 

A better solution for you might be to agree with the builder that you will be allowed to place orders in his name using his payment details. Effectively you would become a member of his purchasing department for the duration of the build. I can't see many builders agreeing to this arrangement, but if he has said he will struggle to do all the procurement for the build, he might go for it; but why would you use a builder who can't procure all the materials they need?  

The other arrangement that would be possible is for you to buy everything, and just pay the builder for their labour, and project management. Then you are building the bungalow yourself and can claim all the VAT back on the materials. 

Whatever you do, you should agree it with the builder and make it part of the contract. If you have already signed a contract, you are stuck with the arrangement that the contract envisages, unless you can persuade the builder to sign a new contract.