VAT on site fees caravan park

worried34

I wonder if anyone can help, when looking at buying a static caravan on a different site recently the sales rep told me there was no VAT on site fees, that they are exempt from VAT. The problem that at my current site I’ve been paying added VAT to my bill for years and it’s due to increase this year. I looked on the Gov website and it does seem that when renting out a caravan you charge VAT but not when charging the site for a caravan to pitch on. As I own the caravan then should I be paying VAT on site fees? 

Pennywise

Are you talking about a residential pitch or a holiday pitch?

There's definitely VAT on holiday pitches, but it may be exempt for permanent residential pitches.

So it depends on whether you use the caravan as your main residence or not.

It also depends on the type of site.  If it's a predominantly holiday/temporary site, i.e. with other facilities such as a pool, laundrette shop, bar, play areas, etc then even if it's a main residence for you, it may still be standard rated for VAT because of the ancilliary services provided.  Likewise, if it's a residential site, i.e. with no facilities, those using it as a holiday home may be exempt because the site is primarily residential.  It really depends on many factors.

desmacca

I wonder if anybody can help. I own a static caravan in Wales, we have recieved our site fees information for 2021/22, the site allows the fees to be paid in one go for a saving ( by 05/11/2021) or in two halves, the first payment before 01/12/2021 and the second before 31/03/2022. My question is this, we have been told that even if we pay before 29/09/2021( when the vat is 5%) we will be charged VAT at 12.5% because they do not except to be payed untill after this date, and if paying in two payments, the second payment will be 20%, which i understand as the VAT returns to 20% by then. Should we be allowed the 5% VAT if we pay before the 29/09/2021 when the VAT goes to 12.5%?

sheramber

duplicate post.

Grumpy_chap

desmacca said:

I wonder if anybody can help. I own a static caravan in Wales, we have recieved our site fees information for 2021/22, the site allows the fees to be paid in one go for a saving ( by 05/11/2021) or in two halves, the first payment before 01/12/2021 and the second before 31/03/2022. My question is this, we have been told that even if we pay before 29/09/2021( when the vat is 5%) we will be charged VAT at 12.5% because they do not except to be payed untill after this date, and if paying in two payments, the second payment will be 20%, which i understand as the VAT returns to 20% by then. Should we be allowed the 5% VAT if we pay before the 29/09/2021 when the VAT goes to 12.5%?

VAT rate is that applicable at the invoice date.

Jeremy535897

Grumpy_chap said:

desmacca said:

I wonder if anybody can help. I own a static caravan in Wales, we have recieved our site fees information for 2021/22, the site allows the fees to be paid in one go for a saving ( by 05/11/2021) or in two halves, the first payment before 01/12/2021 and the second before 31/03/2022. My question is this, we have been told that even if we pay before 29/09/2021( when the vat is 5%) we will be charged VAT at 12.5% because they do not except to be payed untill after this date, and if paying in two payments, the second payment will be 20%, which i understand as the VAT returns to 20% by then. Should we be allowed the 5% VAT if we pay before the 29/09/2021 when the VAT goes to 12.5%?

VAT rate is that applicable at the invoice date.

It's not necessarily that simple. See my post on https://forums.moneysavingexpert.com/discussion/6300115/vat-on-caravan-fees#latest