simplepimple Posted April 26, 2021 Posted April 26, 2021 Not sure I've posted in the correct topic however maybe someone will know the answer to my query. Had to request a streetlight relocation to allow enough room for the driveway of my new build. Would paying VAT on the cost be correct or would it be VAT exempt?
simplepimple Posted April 26, 2021 Author Posted April 26, 2021 Thanks nod - I wasn't sure so thought it was worth asking at £260 a pop! Apparently they don't give receipts either - though I have my invoice and the post has moved so I've obviously paid.
nod Posted April 26, 2021 Posted April 26, 2021 It’s a real racket There is no reason why they need to add vat
newhome Posted April 26, 2021 Posted April 26, 2021 4 hours ago, simplepimple said: Had to request a streetlight relocation to allow enough room for the driveway of my new build. Would paying VAT on the cost be correct or would it be VAT exempt? You could argue that the work is closely connected to the construction of the building as defined in VAT Notice 708. I would go back to the council and state that as the work is for a new build can they reissue the invoice with zero rating, and send in the relevant section from VAT Notice 708. Has to be worth a go surely? https://www.gov.uk/guidance/buildings-and-construction-vat-notice-708#section3 1
simplepimple Posted April 26, 2021 Author Posted April 26, 2021 Thanks newhome ~ that's a great point of view. I shall prepare and send something to the Highways Dept and see what happens. Definitely worth a try.
Temp Posted April 26, 2021 Posted April 26, 2021 +1 That section 3.3.4 covers a lot. Reminder: It should be zero rated to you. You can't reclaim VAT incorrectly paid on labour. It's best to get the quote amended to show inc VAT at 0% before you accept it. I got our water main diversion zero rated after some argument with the water co.
simplepimple Posted April 27, 2021 Author Posted April 27, 2021 Thanks Temp ~ I have already paid the invoice so it's probably too late now however I have asked and will see what they say.
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