Option to Tax
In due course of preparing client's VAT return, he informed us that that he has disposed of a building on which he took out an option to tax (he purchased it a year ago). The problem we have is that no input tax was claimed at the time the building was bought. We have now prepared the current VAT return, amending it to reflect both the input VAT and the output VAT. I wanted advice from more learned members incase i should have take into account anything else.
Many thanks for your comments.