Land and Property is a particularly complex area and it is vitally important to consider the VAT implications of any proposed property transaction in advance to ensure:
- the correct VAT treatment has been applied
- whether an option to tax will enable increased VAT recovery on costs
- whether the TOGC provisions can apply in relation to a property disposal
In relation to residential property development and refurbishment, there are a number of VAT reliefs that may apply including zero-rating for new build; and, where property is to be refurbished for rental, the potential for reduced rating can significantly reduce the project costs.
ECA has extensive experience in advising on property transactions ranging from DIY housebuilders to multi-million pound research buildings.