Securing zero-rated VAT status on residential properties

Securing zero-rated VAT status is crucial for property developers if they want to ensure profitabilty on new residential developments, but to do so VAT liability must be calculated at an early stage, suggests Robert Facer, director of VAT at Menzies

For property developers and commercial landowners, navigating the VAT landscape is a complex process that often has a significant impact on profitability.

With many battling turbulent market conditions, including a scarcity of skilled employees, shortages in the supply chain, and pressure to meet the government’s new housing targets, selecting the right site and development strategy is essential.

Business leaders must examine the intricacies of planning applications, building usage, and the incorporation of existing features at an early stage if they are to ensure zero-rated VAT status.

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