If a garage has been converted into dwellings and is then sold are there any VAT due? The property was never treated as a business asset and the business is not VAT registered.
Thank you
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Property & VAT
Sale (first grant of major interest) of converted property is zero rated. These are taxable supplies meaning that registration is mandatory, assuming turnover exceeds £82,000. Iin your case, input tax can be claimed, so why wouldn't you register?
But; what sort of garage? Was is a motor trade premises? Or a garage associated with a dwelling?
As always with property transactions, fuller professional advice is essential.