The old VAT question

[Penners]

I'm rather uncertain about whether I'll have to pay VAT on a garage that I'm having built by a builder.

It's a new structure within the curtilege, but not attached to a listed building (ie: our house). But the local authority made me go for planning consent, not listed building consent. I now have this consent.

Do you think I'll have to pay VAT?

 

[Nemesis]

It's a new build, and nothing to do with the listed building apart from the fact it could (although clearly doesn't as you got consent) adversely affect the setting of a listed building.

So - do you pay VAT on new buildings?

I am no VAT expert.

 

[andrew gayton]

as far as i am aware, you would only get zero rated vat if l.b.c has been granted...........

 

[Gervase]

I'm afraid you will have to pay VAT. To qualify for exemption;
* the works must be to a protected building
* The works must require and have received LBC or scheduled monument consent.
VAT Notice 708 (which you can download from the Revenue and Customs webstie) has chapter and verse.

If there was any doubt as to the precise wording of the provisions in VAT 708, there is a notable 2004 case which would appear directly relevant to your query - C&E commissioners v Zielinski Baker & Partners. In that case it was held that alterations to the outbuildings of a listed building (to provide a swimming pool and games room) were not eligible for zero rating as an outbuilding was not classed as a part of the 'protected building.'

Sorry to be the bearer of unwelcome news!

 

[Penners]

Thanks, everyone. I had a feeling that this is where I would end up, when I asked the question, but we live in hope, eh?

Judging by what Gervase says, it seems I'll also have to pay VAT on my indoor swimming pool building, helicopter pad and separate servants' quarters.

Damn!

Anyway, thanks again for your advice.

 

[Flyfisher]

But, when the new garage is completed, will you need LBC to demolish it as it will be within the curtilage of your listed property?

I always remember an accountant tell me that a lot of people make the mistake of trying to rationalise the tax/vatman's decisions on the basis of logic and fairness, whereas in actual fact they just try everything they can to maximise their revenue. Fairness doesn't really come into it

Shame about the helipad though :wink:

 

[Nemesis]

No - it wasn't there pre 1948. Curtilage isn't so simple either.

 

[andrew gayton]

1st of july 1948 to be precise.............. ; - )