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VAT on eco building stuff
bozzy18
Posts: 121 Forumite
Hello we are planning an extension and in addition install a garden office. We plan to make it as eco friendly as possible such as installing solar panels to supply electricity to the office and heat water. We are also planning for eco roof which will require roof strengthening to sustain the weight of soil, plants etc. My question is whether these works will attract a 20% VAT rate or 5%?
Grateful for comments.
Your helpful information would be appreciated.
Thanks.
Boz
Your helpful information would be appreciated.
Thanks.
Boz
:beer:
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Comments
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If the contract for the solar panels is supply and fit, then 5% VAT applies. Batteries aren't covered. Buying the panels separately for fitting yourself or by others attracts full VAT at 20%.Good luck getting the solar panels to save you any kind of money. Sadly, they are an expensive toy for homeowners at the moment.A sedum roof attracts at the normal rate of 20%.Everything that is supposed to be in heaven is already here on earth.
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Payback on mine based on two years' data is 8 years for the panels alone, or 13 years for the panels + powerwall. I have quite a high base load of about 10kWh/day as I run a computer sever 24/7 as well as the normal always-on stuff like the fridgefreezer, satellite box etc. so it makes more sense for me that for a lot of people.Doozergirl said:If the contract for the solar panels is supply and fit, then 5% VAT applies. Batteries aren't covered. Buying the panels separately for fitting yourself or by others attracts full VAT at 20%.Good luck getting the solar panels to save you any kind of money. Sadly, they are an expensive toy for homeowners at the moment.
I don't know what it is about where I live, but we average a power cut a month, sometimes for a computer rebooting few seconds, sometimes for 15 minutes, and I really like having the battery backup.Proud member of the wokerati, though I don't eat tofu.Home is where my books are.Solar PV 5.2kWp system, SE facing, >1% shading, installed March 2019.Mortgage free July 20231 -
Can I ask where you get this information from? I was just wondering why eco garden roof would not attract a 5% VAT rate when its environmental friendly and also better insulation etc.Doozergirl said: A sedum roof attracts at the normal rate of 20%.
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But assuming that you got it installed before the cut off date at the end of March 2019, you would have been eligible for the feed-in tariffs - the OP wouldn't have that additional payment now, so a completely different payback calculation. These days you would be lucky to get a payback during the 20-25 year life of the system. Our PV system was installed back in the good old tariff days of 2011, and had a payback of just under 4 years - the feed-in tariff still continues to offset our entire annual energy and water costs, and will do for some years to come.onomatopoeia99 said:
Payback on mine based on two years' data is 8 years for the panels alone, or 13 years for the panels + powerwall. I have quite a high base load of about 10kWh/day as I run a computer sever 24/7 as well as the normal always-on stuff like the fridgefreezer, satellite box etc. so it makes more sense for me that for a lot of people.Doozergirl said:If the contract for the solar panels is supply and fit, then 5% VAT applies. Batteries aren't covered. Buying the panels separately for fitting yourself or by others attracts full VAT at 20%.Good luck getting the solar panels to save you any kind of money. Sadly, they are an expensive toy for homeowners at the moment.
I don't know what it is about where I live, but we average a power cut a month, sometimes for a computer rebooting few seconds, sometimes for 15 minutes, and I really like having the battery backup.
I have the same home server set up as you, and just bought a small UPS about 12 years ago for about £100 - I can run our server, printer and a couple of computers off this for a few hours every time there's a power cut.1 -
Because the raw materials attract full VAT, the same as any other roofing materials.bozzy18 said:
Can I ask where you get this information from? I was just wondering why eco garden roof would not attract a 5% VAT rate when its environmental friendly and also better insulation etc.Doozergirl said: A sedum roof attracts at the normal rate of 20%.The supply and fit of 'a roof' is the supply and fit of 'a roof', regardless of the thickness of insulation.Have you found any HMRC guidance that suggests that a sedum roof attracts a reduced rate?Everything that is supposed to be in heaven is already here on earth.
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