VAT refund for self build

It is possible to register a self-build application for VAT purposes and reclaim any VAT charged on certain materials and services paid out. In a recent tax case an individual and his partner decided to build a new home for themselves and two children from a previous relationship. The building was actually two separate buildings (one for the kids) linked by timber decking. HMRC refused the claim to include VAT recoverable for the construction of the separate building.

On appeal the Tribunal allowed the claim, arguing that the singular word ‘building’ should be construed as including the plural ‘buildings’ so that the claim for the two buildings should be allowed.

Original post by Latest Taxation News and many thanks to them and their entry and picture of their BMX Bike