VAT on Sale of Property During Wind up
I've been asked the question of whether VAT is applicable to the sale of a property during a business wind up?
It is relation to a VAT registered partnership that has ceased trading and are in the process of realising assets to pay as much of the shortfall to creditors as possible.
The partnership owned a property that was utilised for the staff offices and the factory to produce their goods (i.e. the company did not trade in commercial property)the property has a charge over it from the bank for its entire value.
It is currently on the market for sale but they are unsure if when a sale occurs it will be subject to VAT?
Please could someone advise, or point me to where I could find further information?
Thanks in advance
- Not renewing AAT 596 8
- Self-assessment statistics 2,391 56
- Accountant won't release working papers 2,685 51
- New dividend taxation 303 2
- Co purchase printed materials from EU - VAT 93 1
- Company car v company allowance 202 1
- Furnished Lettings - expenses normally bourne by tenant 423 9
- Company formation and bank account 350 9
- Next Move 626 18
- Owning overseas property 296 2
- MLR and benefitting from the disclosure 279 1
- Company Car for Owner Director number crunching - is there a ready reckoner? 208 3
- How did you recalculate your payroll fees 679 8
- Client tied in to accountant. Unfair contract? 627 9
- Importing Sage Data and Year End 235 2
- Legal structure of a group of friends producing a free newspaper 408 8
- OneNote is fantastic 560 11
- VAT Direct Debit 381 7
- S445 tax V's new dividend tax 470 8
- Self Assessment Software 702 21
- Self employed and HMRC Worldwide Subsistence Rates 664
- Acrobat Checkbox Help for New 64-8 405
- Property letting & CAs 396
- Interest paid - do new rules affect Tax Credits? 391
- 2015 tax year end 388
- FCA regulated company in a small group 344
- Self employed consultant working in Ireland 306
- Market Invoice (P2P invoice discounting) tax treatment 238
- DTA tie-breaker issue 207
- Tax on internet ad sharing income 204