Buildings and construction (VAT Notice 708) Renovations existing building

Hi, I'm trying to determine if I can claim a reduced VAT rate on qualifying goods and services. I recently moved into a property that had been empty for over two years. On the day we moved in, we began various renovations such as taking down internal walls, dismantling garden sheds, fixing windows, fitting door locks, and replacing radiator fittings, generally working to prevent the house from deteriorating further. We have applied to the local council for an empty house certification (not sure if that's the correct terminology) and are awaiting a response. The previous owner passed away in July 2021, and the house has been unoccupied since then, so we expect to qualify for the certification. My question is, since we've moved in and started renovations, are we still eligible to claim the reduced VAT rate of 5%? If so, how do we go about doing it? Thank you

[Display name amended - Admin]

Hi,

There is no procedure to claim back the reduced rate of VAT charged.

If the property has been empty for 2 years or more and a contractor completes renovation work for you then they would automatically charge 5% on the work, both for the materials and the labour. However, if you have completed the work yourself and have purchased materials yourself, then unfortunately there is no claim procedure for this.

There would only be a claim procedure if the house had not been lived in for 10 or more years. You can see guidance here:

Claim a VAT refund for a conversion if you're a DIY housebuilder

Reduced rating the renovation or alteration of empty residential premises

Thank you.