The EU has asked the UK to amend its rules on energy saving materials, which are currently subject to the 5% VAT rate, on a ‘supply and fit’ basis. Under EU VAT rules, the UK (and other member states) can only apply a reduced rate on a specified number of goods and services. Energy saving… Read More


My recent euphoria on an earlier previous post that included the words “possibly some good news on listed buildings” was somewhat deflated on the afternoon of the Budget. With effect from 1 October 2012, the VAT relief that currently allows zero rating for certain types of work on listed buildings has been withdrawn. As a… Read More


For once the Budget has introduced a few interesting topics on VAT, not all of them good, of course: • As ever, the VAT registration limit is rising – to £77,000 – with the new de-registration limit set at £75,000. Effective from 1 April 2012. • Again as ever, the VAT fuel scale charge figures… Read More


For once, good news emanating from HMRC, who have just re-written their internal guidance on the topic of construction – their reference V1-8A.  Within it, they state that double glazing and secondary glazing can, potentially, be zero rated as alterations.  This is wonderful news as they have hitherto refused to accept zero rating, except in very limited circumstances. To… Read More


HMRC have recently announced that they are commencing a purge on businesses that are not VAT registered, but which should be.  I suspect that they are looking at businesses that have submitted accounts to HMRC i.e. the “Taxman”,  showing them with turnover in excess of the threshold.  The expression “shooting at fish in a bucket”… Read More


As ever, the world of VAT toodles along, with few highlights, so it is difficult to get excited about the things that are changing. But let’s not start on a negative – here’s a few goodies for you: VAT registration limit (previously £70k) going up to £73k. [They call it “revalorisation” of the threshold –… Read More


The world is awash with advice and assistance as regards how to avoid the increase – up to 20% on 4/1/11, if you didn’t already know. In that light, I will add a shortened version on how to avoid it: Goods Buy it before 4/1/11 – VAT remains at 17.5%. Services Have the service, whatever… Read More


As you are doubtless aware, HMRC don’t normally appear generous with their approach to taxpayers, and although what follows appears to be in the realms of generosity, it did not arise as a result of an unexpected burst of largesse on their part. For many years there has been a “DIY Housebuilders Scheme” in existence,… Read More


Thankfully, the Budget was devoid of many significant VAT changes. OK, the VAT rate is going up to 20% on 4 January 2011 but that is as exciting as it gets. That gives us time to prepare, and as with the January 2010 rise of 2½%, did we really notice? Full marks to the Chancellor,… Read More


HMRC have announced a policy revision with regard to pay-per-click advertising, supplied on third party websites. In an unaccustomed burst of keeping up with the times (well, almost), HMRC accept that this is advertising and that it can be zero rated. Clearly, as the law hasn’t changed, charities are advised to go back to the… Read More