Who we help
Construction VAT support for accountants
When one client's building project needs a construction VAT specialist, we do that piece and nothing else. We work out the rate for every item and document it. The bookkeeping, the returns and the client stay with you.
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One project, one specialist
Construction VAT has its own legislation, its own HMRC notice and a long list of exceptions for individual materials. We are engaged for the single project that needs that depth.
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Rate analysis only
We do no bookkeeping, no accounts, no payroll and no VAT returns. There is nothing else for us to offer your client, so the relationship stays where it is.
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We do not act as agent with HMRC
We do not correspond with HMRC, register anyone for VAT, submit returns or claims, or represent anyone in an enquiry. Anything that has to be filed stays with you or the client.
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A documented answer
The client receives a written answer with the legislation or HMRC guidance cited for each rate, and a letter for the contractor setting out what to charge.
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An honest answer at 20%
Plenty of building work is correctly standard rated. Where that is the conclusion, the report says so plainly and we do not present a route that is not available.
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Fixed fee, agreed first
The fee is set by the scope of the project and agreed before any work begins. If a qualification report leads on to the full analysis, the report fee is credited against it.
A specialist for the project that needs one
Most practices see construction VAT a few times a year. A client is building a house, splitting a property into flats or converting a barn, and the builder has quoted 20% across the board. The rules that decide whether that is right sit in Schedules 7A and 8 of the VAT Act 1994 and in HMRC's Notice 708. They turn on the facts of the building, the nature of the works and the status of each material.
That is all we do. Your client gets the right rate for each part of the quote, tender or bill of quantities, with the legal basis for each, including where only part of a building qualifies and where items such as carpets, appliances or fitted wardrobes stay at 20%.
Timing matters. The liability to charge the right rate sits with the contractor, and VAT charged in error cannot be recovered from HMRC by the customer. It has to be corrected by the contractor with a credit note. The useful moment to involve us is before the contract is priced.
What stays with you
Everything outside the rate analysis. We do not keep books, prepare accounts or submit returns. We do not act as agent with HMRC and we do not represent anyone in an enquiry. Our analysis is a professional determination on the facts provided. It is not a ruling, and HMRC is not bound by it.
The work comes in three levels: a qualification report, the line-by-line analysis and an advisory retainer during the build. The fee for each is fixed and agreed first.
To discuss a client's project, use our contact page, or have the client send us the builder's quote.
Questions
Straight answers.
Will you take on any of my client's compliance work?
No. We do not prepare accounts, keep books or submit VAT returns, for your client or anyone else. Our work is limited to the VAT rate on the building project and the paperwork that supports it.
Who deals with HMRC?
You or your client. We do not act as agent with HMRC and we do not file anything. That includes VAT returns and DIY housebuilder claims. We can explain what our analysis found so that whoever files has the reasoning in front of them.
Which projects are worth referring?
New build homes, conversions, renovations of long-empty homes, mixed-use schemes, care homes and charity buildings, and any job where the builder has quoted 20% on everything and nobody has checked. Routine repairs to an occupied home are normally just 20%.
How is the engagement set up?
Directly with your client, for the one project. The scope and a fixed fee are agreed with them before any work begins.
Next step
Talk to us about a client's project
Upload your builder’s quote or tender. We look at the project and the pricing and tell you whether a lower rate is worth pursuing, before you commit to anything.
- Fixed fee, agreed up front
- Every rate tied to the legislation
- We'll tell you if it's 20%