Peter Le Feuvre

Hi, I hope it isn't too late to reply. I thought I was resolving the matter, but I have not. A third party will carry out a separate supply to connect the solar panels to the mains. This third party will be installing a second array of solar panels, and then connecting both sets of panels to the mains. VAT Notice 708/6 defines 'installation' as a process involving items being permanently fixed in place. Regarding solar (2.11) it lists the items, but the notice does not directly say that the panels must be connected to the mains. The solar which has been installed was done as one supply, and it is fixed permanently to the roof, with all wiring in place. The builder is states that as he is not completing the whole installation, he is charging 20% VAT on this work, unless I can get proof from HMRC that it should be zero-rated. Can you offer an opinion on whether the installation of PV solar panels, optimisers and cabling, which has been permanently fixed in place should be supplied at zero rated VAT? Many thanks

Hi, I have had solar panels installed on my roof, but due to delays installing a three phase electricity supply, the builder has not been able to install an invertor or connect the panels to the grid. As he is finishing the build he has charged me VAT on the solar panel installation because because it has not been connected or commissioned yet. In VAT Notice 708/6 installation is defined as permanent fixation, which the panels are. As the panels have not yet been commissioned is the builder correct to charge 20% VAT, or should he be charging zero rated VAT because the panels are permanently fixed to the roof? Kind regards