Common errors made during DIY VAT reclaims
- Using contractors accounts at suppliers
- Invoices in your business name
- Using contractors who are not VAT registered
- Submitting late
- Purchases after date of building control completion certificate
- Paying VAT to contractors on a new build
- Paying VAT at 20% when it should be 5% on conversions
- Creating a project name or a business sounding name to make purchases
Myths surrounding self-build VAT claims
Creating a business name that sounds like a builder's will give me credibility, better rates and greater buying power with merchants.
Creating an account with a builders merchants under a false name will give you no advantage whatsoever. Instead, it can damage your VAT reclaim. It is your responsibility to shop well and source the materials you need at a cost-effective rate. Creating a false business name will not assist you in any way.
Even though I am building a property for myself, I should do it under a limited company that I have set up.
This will be of no benefit to you at all and can prevent you from reclaiming VAT in the future. Creating a limited company to build your own property would require you to VAT register your business, and would mean the final dwelling would be under the business name instead of your own.
"Andrew Jones (The Vatman) Ltd gave me excellent and essential advice about my DIY VAT claim. I may well have failed without his knowledge of how to navigate the tricky HMRC rules. His company prepared the claim for me efficiently and quickly, with important input along the way which allowed me to maximise the claim. I would strongly advise that self-builders use this service rather than try to save a modest fee by doing it themselves."
- Nigel R.
Don't make common errors when reclaiming your VAT! Call Andrew Jones (The Vatman) Ltd today.
01269 825248