Entries by SOC VAT Consultants

The VAT registration threshold – too high?

As was expected in the Spring Statement the Chancellor announced a call for evidence into the effect of the current VAT registration threshold on growth, The Government believes that the current ‘cliff edge‘ VAT registration threshold may act as a disincentive to growth of small businesses and to consequent improvements in productivity. This was noted […]

Membership Subscriptions and VAT – the Harley Davidson case

Membership subscriptions are always an area of contention for charities. Some charities benefit from a VAT Extra Statutory Concession for non-profit membership bodies under which HMRC allow subscriptions to be apportioned to reflect the underlying VAT treatment of the specific benefits. This is useful where the benefits include printed material which is generically zero rated, […]

VAT in the Autumn Budget

VAT – related measures in the 2017 Autumn Budget VAT registration threshold – Not the expected drop in the registration threshold, but the Government has said it will consult on the ‘design’ of the threshold in response to the Office of Tax Simplification (OTS) report on the simplification of VAT.  In the meantime, the threshold […]

Summer Newsletter

Welcome to our Summer news update. Since the last one we don’t seem to have much more clarity on what the post-Brexit business landscape will look like, but we have seen the publication of the European Union (Withdrawal) Bill, which is the most significant piece of constitutional legislation for decades. We’ve also seen some important […]

The VAT problem with pubs

Two recent cases, Languard New Homes Ltd and MacPherson illustrate the continuing VAT issues with non-residential conversions, particularly problems with conversion of pubs and shops. Normally if a developer carries out work on an existing flat or house and sells a long lease in it afterwards, he will incur VAT of 20% on the works […]

UK VAT exemption for welfare services incompatible with EU law?

The First Tier Tribunal (FTT) has suggested, not for the first time, that the UK exemption for welfare services is in breach of EU law, so taxpayers supplying services may be entitled to invoke exemption under the principle of direct effect Learning Centre (Romford) Ltd (TLC) provided education, activities, and entertainment to vulnerable adults with […]

Is student accommodation a ‘dwelling’?

A recent case has highlighted some important VAT differences that constractors and sub-contractors need to be aware of between types of student accommodation. Summit Electrical Installations (SEI) had acted as a sub-contractor during construction of a block of studio flats for students. The flats were to be made available to purchasers on a buy to […]