Andrew Pugh

So just a little further clarification if I may please. Please indicate if my statements are correct or not. If not please state correction. 1. If Heat Pumps are Zero rated on installation as per section 2 only, then repair and maintenance would be charged at 20% VAT. 2. If Heat Pumps are supplied and installed under partial, or full, grant funding as per section 3, but also qualified for Zero rate as per section 2 then repair and servicing would be at the reduced rate of 5% VAT. 3. Both of the above only apply to Residential and Charitable buildings. Thank you for your attention in this matter it is very much appreciated.

Thank you for your answer above; but could you please clarify? From what you have said above I am interpreting that all: - 1. Repair & Maintenance work on Heat Pumps, whether fully grant funded, or partially (i.e. BUS Grant, GHGS & D-RHI), can be zero rated. 2. Repair & Maintenance work on Heat Pumps, that are zero rated for their installations as per section 2, is also zero rated. 3. Also for heat pumps installed when the reduced rate was 5%, grant funded or not, can the Repair and Maintenance qualify for the zero rate? Your attention to this matter is appreciated.

According to VAT notice 708/6 & Section 3. Grant-funded installations of heating equipment eligible for relief but not under section 2, and subsection 3.4 Renewable source heating systems. The reduced rate applies to the installation, repair and maintenance of renewable source heating systems. Does this means that Air, Ground & Water Sourced Heat Pumps installed receiving BUS, GHGS & D-RHI funding are eligible for zero rated VAT on Servicing and breakdown repair?