VAT Reverse Charge for Construction Services Consultation

VAT

HMRC introduce new VAT rules for construction services

HMRC proposes to introduce new VAT rules for construction services which are subject to consultation.

HMRC has published a draft statutory instrument for technical consultation together with a draft explanatory memorandum and a draft tax information and impact note.

Under the draft legislation supplies of standard or reduced-rated construction services between construction or building businesses will be subject to a domestic reverse charge. This means that the customer will be liable to account for VAT due, instead of the supplier.

The legislation will not apply to specified supplies made to customers who are consumers, or to those that use specified supplies to make other supplies, such as those selling new houses.

The legislation is expected to take effect from 1 October 2019. More details of the proposed new rules can be found at the following link.

Internet link: GOV.UK consultation

Let’s start a conversation 

    Subscribe me for updates and news from In Accountancy

    Related articles

    a present with a monetary voucher attached discussing tax free gifts for staff
    Limited Companies

    Tax free gifts for your employees?

    Did you know that many UK based small businesses still aren’t aware of a great little tax free gifts benefit you can offer your employees?

    It’s called a ‘Trivial Benefit’…

    Read More »

    Find out how we can help?

    Lectus scelerisque a donec tincidunt litora per eleifend eget ut sagittis conubia pharetra scelerisque dui ultricies duis parturient auctor adipiscing.

     

    Let’s start a conversation 

      Subscribe me for updates and news from In Accountancy

      IN-ACCOUNTANCY

      Search