Is construction of holiday home standard or zero rated?
Our client owns about 4.5 acres of land and has been granted planning to build a number of wooden lodges and create a holiday park.
Am I right in thinking that the construction of these holiday homes will be zero rated? It is the intention of my client to sell some of the lodges and possibly let some of them. Does this affect the VAT treatment of construction?
I believe the planning allows people to reside at the park throughout the whole year - I think this has a bearing on the VAT treatment.
Also, does it matter if sold freehold or leasehold?
I note this previous post would seem to support my thinking http://www.accountingweb.co.uk/anyanswers/log-cabin-vat
Your thoughts welcome.
- Deferring dividends on paper 88 5
- VAT Query on new build 49 1
- Restriction of trading loss and overlap relief 110 1
- flat rate scheme 2,267 42
- CIC Abbreviated Accounts 131 4
- Family Partnership 214 5
- How to format Co-operative Accounts 45 1
- P11D Car Value 237 6
- Signed accounts for bank 602 12
- NOVA declaration 91 1
- Business valuation advice 701 18
- Auto enrolment: What’s your plan? 1,475 16
- Are any of you members of The Institute of Financial Accountants - Accountnats certificate 1,217 23
- Can anybody recommend any software 267 2
- Stand alone practice management software 2,092 26
- 2011 Self Assessment Tax return form 153 1
- dividend date - whose income is it? 375 5
- What route into accountancy would you recommend? 792 11
- HMRC Postal Delays 435 10
- Legal advisor recommendation please 325 5