VAT special rules on land and buildings

By Tolley
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The following Owner-Managed Businesses guidance note by Tolley provides comprehensive and up to date tax information covering:

  • VAT special rules on land and buildings
  • Capital goods scheme

This guidance explains further points on the transfer of going concern rules where the transfer includes land and buildings. For guidance on the conditions for the transfer of going concern rules to apply see the VAT on business disposals guidance note.

VAT legislation and extra-statutory materials are subscription sensitive.

Where a transfer of a going concern includes land and buildings which would ordinarily be standard-rated, the property will fall outside of the transfer of a going concern provisions and remain a standard-rated supply on which VAT should be charged.

SI 1995/1268, Art 5(2)

There are two primary supplies of land and buildings which are standard-rated supplies. These are:

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