Aratu Utar

Thank you for your reply. I will be using the property myself. I will purchase the property under my company and will actively use it for business purposes related to my company. However, I am unsure if I will exceed the VAT threshold of £85,000 in the first year. If I do not exceed this threshold, can I still claim the £20,000 VAT refund I will pay for the property? Or can I retain my VAT entitlement and claim the refund in subsequent years? I am concerned about not being able to reclaim the VAT as the amount I will pay is very high.

I am interested in purchasing a newly built commercial property on a 999-year lease valued at £100,000. I understand that as it is a new build, I need to pay £100,000 plus VAT, which amounts to £20,000. Currently, my company is not VAT-registered. If I register my company for VAT and purchase the property under the company's name, will I be able to reclaim the £20,000 VAT even if my company does not generate VATable sales? Thank you.