VAT claim on hob with built in extraction

[Pete]

Sorry to bring this up again but I am struggling to find this in the archives. If I remember rightly you can claim the vat on a hob with built in extraction? We have such a hob and we are trying to get the kitchen installer to put this in an invoice and he said we will not be able to claim it back in an email we received today. I will be having a chat tomorrow to explain I just want the invoice stating it is a hob with extraction and not his opinion on whether we can claim it back or not!

But have I remembered rightly that you can claim this back? TIA

[recoveringbuilder]

If he is supplying and installing your kitchen it should be zero rated anyway ( if it’s a new build)

the only thing we got through our supplier/ installer was a built in dishwasher and it was zero rated along with the rest of the kitchen.

[Pete]

25 minutes ago, Christine Walker said:

If he is supplying and installing your kitchen it should be zero rated anyway ( if it’s a new build)

the only thing we got through our supplier/ installer was a built in dishwasher and it was zero rated along with the rest of the kitchen.

I am not sure that is correct as you cannot get appliances for the kitchen zero rated (I think)

[Temp]

33 minutes ago, Christine Walker said:

If he is supplying and installing your kitchen it should be zero rated anyway ( if it’s a new build)

 

Not quite. The zero rating of everything in the case of "Supply and Fit" only applies if they are fitting "Building Materials"...

 

From VAT 708 Para 2.2..

Quote

 

Builders charge VAT on ‘building materials’ that they supply and incorporate in a building (or its site) at the same rate as for their work. Therefore, if their work is zero-rated or reduced-rated, then so are the ‘building materials’. But some items are not ‘building materials’ and remain standard-rated.
 

 

Later in 13.6 it states..

Quote

Most devices that are powered by electricity or gas are not building materials for VAT purposes, even if they’re required to be incorporated in a building as a requirement of Building Regulations. Electrical and gas appliances are building materials when they’re:

 

snip

* designed to provide ventilation, air cooling, air purification, or dust extraction

snip
 

 

 

 

So I would argue it IS a building material under 13.6 and he should zero rate it to you.

 

 

 

 

 

 

 

Edited September 10, 2020 by Temp

[recoveringbuilder]

I must have won a watch then! Kitchen company zero rated it and would have zero rated cooking facilities too had I chosen built in oven/hob but I had freestanding range, the way that they looked at it was that it was built in and therefore part of the kitchen, I wouldn’t be removing it if I sold the house.

[newhome]

8 hours ago, Christine Walker said:

 

I must have won a watch then

 

Yep! Kitchen company got it wrong but in your favour. Doesn’t matter if it’s built in or not in the same way that ‘real’ built in wardrobes aren’t eligible (only ones that have doors fitted onto walls). 
 

[newhome]

9 hours ago, Pete said:

But have I remembered rightly that you can claim this back?

Grey area. You might be lucky and get it back but there is no clear policy as far as I know. Definitely worth a go though and you’re right it would be better if the invoice stated the extraction element. When you do your reclaim ensure that your own description is suitably worded too. Don’t bank on it being accepted though. 

[newhome]

Thinking about it if you are refused I would appeal on the basis that if an aga that provides space and water heating as well as cooking is eligible (and clearly stated as eligible) then a combined hob must also be eligible using the same principle. Do please provide an update once your claim has been processed as this will assist others. 
 

[Pete]

Had a reply from the accounts dept who supplied the kitchen and they have said seen as the hob with integrated extractor is a grey area concerning the vat they are willing to split/refund 50% of the vat that we have been charged. I have tried HMRC today but got no answer but will try the number on the bottom of the vat claim form tomorrow.

I have not replied to the kitchen people as I need to get some more definitive info before I respond. I am not happy that they think it is upto them to decide if/how much we pay. I sent them the info from the tax information regarding extraction. When you compare this with other grey areas and it in your favour then you pay no vat, not a fraction of the whole vat amount. An Aga is a prime example if it provides HW and heating and can zero rated, my hob is a hob and an extractor all in one and should be zero rated I think. 

[Wagas]

I'd take the 50% offer from the kitchen co as you could be waiting 6 months to get a vat reclaim from HMRC and they could refuse the hob all together.

[Pete]

Just to let people know I contacted HMRC and they say a hob with built in extraction is not eligible for the Vat claim or in simple terms Vat must be paid. When I asked why they said because the larger proportion of the cost of the hob is for the cooking part and not the extraction part. I then said how can you permit an Aga which is not used for heating for a vast majority of the time it is used and not the hob as when it is used the extraction is on all the time,her reply was a decision was made and that is it. 

[joe90]

Take the 50%.

[Pete]

1 hour ago, joe90 said:

Take the 50%.

Already have, ssshh!

[newhome]

9 hours ago, Pete said:

I then said how can you permit an Aga which is not used for heating for a vast majority of the time it is used and not the hob as when it is used the extraction is on all the time,her reply was a decision was made and that is it. 

So whatever they say goes, even if the rationale is full of holes. Why are we not surprised! ?

[Wagas]

You were never going to get a positive answer from asking HMRC, your best hope was to try and sneak it through. The 50% seemed like a generous offer tbh.

[newhome]

7 hours ago, Wagas said:

You were never going to get a positive answer from asking HMRC, your best hope was to try and sneak it through. The 50% seemed like a generous offer tbh.

Yes I would have tried to sneak it through too. I would only approach HMRC if I had a scenario that needed clarification that might impact the validity of the entire claim. For an individual item I would have just put the claim in. We have seen cases where some people have been successful in claiming for certain items and some have not.