Why is VAT levied on the renovation of old buildings, but not on the sale of new houses?
By adding 20% on the cost of refurbishing or maintaining to improve existing buildings is crazy.
The Government needs to bring the tax system in line with their policies and the tax anomaly that is completely ridiculous for our heritage and the environment. How many more obstacles will be put in the way of small to medium enterprises who refurbish and sell renovated old homes?
The whole system of zero VAT is fine for volume Housebuilding groups, but if you want to improve the carbon efficiency of an older dwelling you are gonna get stuffed for 20% VAT on the materials and labour to do the job.
Better insulation for an old school house means HMRC are better insulated by 20% !
Isn’t it time that they felt a chill or two? Back to school Osborne !