0% VAT on building products due to disability

[Oddbod1]

HMRC grants an exemption on certain building products that are used in the construction of a disabled bathroom. The ruling allows for the home owner to get the material supplied with VAT taken off. The problem is, a lot of building merchants are totally clueless on this and I cannot get them to agree, they keep saying we have to claim back the VAT from HMRC like a homeowner for a new build property does.

I don't have the link to hand right now, but having spoken to HMRC, they have also confirmed what was on the web site and that the homeowner doesnt reclaim anything, the products need to be supplied VAT free.

Has anyone had any similar experience?

 

[rssteve]

I'm curious how the buyer proves the products are being used in the bathroom.

 

[Tigercubrider]

https://www.gov.uk/government/publi...017-vat-reliefs-for-disabled-and-older-people

 

[Oddbod1]

Random inspection by HMRC.
There is no onus to prove anything. Problem is trying to convince the merchant that the rules indicate that they have to supply it at 0%. Maybe more work for their accounting dept?

If I'm building a 7x3m extension I can only apportion the 2x3m attached disabled bathroom cost at 0%.

 

[Tigercubrider]

Try writing to the head office of the company to get an agreement so you can show a letter to the local office?

 

[Oddbod1]

I suppose it is worth a try. It's just a hassle however.

 

[endecotp]

Who is doing the work using these zero-rates materials?
See section 6.8.1 of the document linked by Tigercubrider above.

When the materials are bought by a disabled person or charity in connection with building works which will be performed by a friend, neighbour or family member for free, or in a DIY capacity by the disabled person or charity themselves, the supply of the materials isn’t eligible for the relief. This is because there is no subsequent supply of zero-rated construction services to which these materials can be ‘connected’.​

 

[Oddbod1]

I'm purchasing some of the materials (as the son of parent with the disability) to give to the builder who has quoted for the cost of the construction. Sanitary ware etc are never chosen by the builder anyway so I need to supply him with whatever's is needed to kit out the bathroom.

That said, the bricks and blocks and sand/cement, plasterboard partition, tiles, sanitary ware etc all used for the construction element of the bathroom can be done at 0%.