I understand I can claim back VAT on a new build family holiday home, however I require a building control certificate of completion for that. I never went through building regulations as it was through hutting law. I have an Architects certificate of completion but the government won't accept this. Has anyone been successful at claiming back VAT?
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No.
VAT is recoverable on "residential dwellings" not "new build" whatevermacallits. You have a "hut" which cannot be used as a residence: it is not approvedfor residential (dwelling) use. No VAT back.
A holiday house which can be used as a residence (ie kick out the guests and move in, CTAX being paid) and has planning permission as a residential dwelling can have VAT reclaimed as it is, basically, a house which is used for another purpose. If your hut is a business asset you may be able to recover the VAT on it if you VAT register that business (is it worth it?). When I do my build I'll let you know as I may do this. I have to ask my accountant. Circumstances are the hut is in forestry. Forestry is inherently commercial and a business even if loss-making until harvest. I may rent it out for a month or so a year (other arguments on here about this being permitted: I do not read it as excluded).
Comment made below about registering as holiday let. Not required for a hut. Can, arguably, be let out without STL through the "bothy" exclusion. And just because something is registered as holiday letting does not make it a "residential dwelling".
Thanks for your reply. We have tried twice with HMRC sending in the form with receipts, planning approval, architects certificate of completion, explanation why there is no certificate from building control, etc.
They have come back today with a second refusal. Stating the following reasons
- it is a 'hut'
- there is no certificate of completion from the local authority
- no building warrant approval
- no sign of foundations
Basically trating the hut under the rules for a house. Good luck when you apply, we will be keen to see if they have changed the rules by then. As we have now passed the 3 month time limit after completion to apply we have missed the boat.
Cheers
Not yet, but will be in a few months when my hut is finished. I have spoken to HMRC about a VAT refund claim. They suggested sending in the completed (431NB) form with receipts/permission etc and an explanation of why there is no certificate of completion as well as any other info that might be relevant.
They said it might be that as huts are a new category of leisure building HMRC will need to consider if a claim can't be accepted under current rules how/if they could be changed to be eligible. Might take some time but worth persisting.