Hi. I have a building company and have built a couple of properties initially with the intention of selling them on the open market. My personal circumstances have changed and I’m now considering moving in to one of the properties but before I decide I’d like to know whether my company would have to charge me VAT on the sale?

I have obtained three independent valuations from Estate Agents and propose to pay the company the middle valuation assuming that this would be zero-rated but I have doubts as to whether this assumption is correct.

Any advice would be greatly appreciated.

Thanks in advance.

  • AB Architectural Design Ltd

    I’d suggest your first point of call would be HMRC to get their thoughts. I don’t believe that you should be paying VAT on a property purchase since new build properties are zero rated and if you have a company any VAT they’ve paid should be reclaimed through any VAT returns. But again I would check all this with HMRC. Good luck and let us know how you get on.

  • Stephen Margerison

    I believe you CAN buy from your company VAT free, as in law you are one entity, and your company is totally separate entity, but to avoid problems be fair to all concerned
    hope this helps SKM

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