Our client had acquired an existing block of flats with the intention of refurbishing for rental. Our Client wanted to minimise property VAT costs on the acquisition.
The issue with this was the VAT costs would be irrecoverable, the question for us being - how do we minimise these costs?
We identified areas where the 5% VAT rate and 0% VAT rate could be applied and advised the client accordingly. We drafted a technical note to support the treatment that the client shared with the contractors to ensure that the lower rates of property VAT were applied to their invoices.
The client significantly reduced the level of irrecoverable VAT that they paid.
Does this case sound familiar to you and your situation? Do you need further VAT advice? please do get in touch
