VAT Services (Case Study)

An agricultural client seeking to register as an “intending trader” had incurred significant amounts of VAT on the refurbishment of his farmhouse. With a degree of careful planning we were able to make sure that the VAT registration ran from as early date as possible and negotiated a reasonable level of VAT recovery with Customs on the costs incurred on the farmhouse. The resultant VAT refund was in excess of £30,000 and we are now discussing further VAT savings by agreeing the application of the reduced VAT rate of 5% to some of the building works as the builder had incorrectly standard-rated these.

A property company making a mixture of exempt and taxable supplies had not carried out partial exemption calculations to determine the level of it’s input tax recovery. By reviewing the VAT returns for the last twelve months and working out the partial exemption position for each VAT period we were able to demonstrate to Customs that a refund of £6,000 was due.

A sports club involved in the development of new sports’ facilities needed to reclaim the VAT incurred on the project. By being involved in the proceedings at a very early stage we ensured that the club registered for VAT at the appropriate and an option to tax in place to ensure that it would maintain a fully taxable use of the property for the purposes of partial exemption and the Capital Goods Scheme. We also dealt with Customs on the club’s behalf to facilitate the prompt repayment of the VAT claim of £240,000.