I am about to build a house extension of 2 bedrooms 2 bathrooms and a kitchen with the aim on compeition of fostering 1, 2 or siblings. An accountant has suggested this can be done at zero vat. Has anyone done this a what is the process and guidelines.
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Unlikely, I fear.
Zero-rating of a new building is for a dwelling or relevant residential purpose building. An extension is usually not a 'new' building (although it might be).
Further, if the extension cannot be used or disposed of separately, it cannot constitute a new dwelling.
I think you should get the accountant who suggested it could be zero-rated to advise you on how to do it. Even if it's possible - and I'm not convinced - there are plenty of pitfalls.
