Is there any reason not to be able to reclaim the VAT charged by builders renovating a number of run down flats that are currently privately let if the individual become VAT registered? There a small number of shops that will be renovated at the same time also.
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Refurbishment
If the flats have been empty for two years or more, then the builders' services should be at 5%.
Since the letting or sale of the flats will be exempt you are not entitled to claim VAT on refub works.
In respect of the shops, you can only claim the VAT if you have opted to tax.
Partial Exemption
If the shops have been opted on then you will need to consider whether you can be treated as fully taxable under the Partial Exemption De Minimis rules set out in Notice 706