Skyscraper
  • 07 Sep 2018

Commercial properties which are more than three years old will not have VAT attached to their sale or rent unless the owner or leaseholder has opted to apply it. This is called the “option to tax”. There are three key questions to ask about your own commercial property:
• have you ever made an option to tax on this property?
• if you did where is the evidence? This would be a copy of form VAT 1614 and acknowledgment from HMRC; and
• if the option to tax was made more than 20 years ago, is it now appropriate to revoke that election?

All these questions will become urgent if you wish to sell the property as the buyer’s legal team will ask for evidence that VAT is correctly charged on the sale. Some businesses cannot recover VAT, so they would prefer to buy or lease a building without VAT.

If you believe that an option to tax is in place but there is no evidence, you could write to HMRC asking for a copy of the election but do not hold your breath. HMRC will take weeks to reply and if the election was made many years ago they may no longer have the paperwork. If you have never let the property and VAT was not charged on the original acquisition, it is probably safe to assume that an option to tax has never been made.

It is a common misunderstanding that once a property is the subject of an option to tax it remains an “opted property” when sold. This is not the case. Each person with an interest in the property can make an independent decision whether to opt to tax or not.

Requirement to correct letters
Online Tax
Previous post
Pension lump sum
British Money Notes
Next post

55 thoughts on “VAT option to tax”

  1. Have you ever heard of second life (sl for short). It is essentially a online game where you can do anything you want. sl is literally my second life (pun intended lol). If you would like to see more you can see these sl websites and blogs

  2. Pingback: tinder 1 liners
  3. Have you ever heard of second life (sl for short). It is basically a video game where you can do anything you want. Second life is literally my second life (pun intended lol). If you want to see more you can see these Second Life authors and blogs

  4. Have you ever heard of second life (sl for short). It is basically a video game where you can do anything you want. sl is literally my second life (pun intended lol). If you want to see more you can see these Second Life authors and blogs

  5. Have you ever heard of second life (sl for short). It is essentially a game where you can do anything you want. SL is literally my second life (pun intended lol). If you want to see more you can see these Second Life websites and blogs

  6. Have you ever heard of second life (sl for short). It is essentially a online game where you can do anything you want. SL is literally my second life (pun intended lol). If you would like to see more you can see these second life articles and blogs

  7. Have you ever heard of second life (sl for short). It is essentially a game where you can do anything you want. Second life is literally my second life (pun intended lol). If you want to see more you can see these Second Life articles and blogs

  8. Have you ever heard of second life (sl for short). It is basically a video game where you can do anything you want. SL is literally my second life (pun intended lol). If you would like to see more you can see these second life websites and blogs

  9. Have you ever heard of second life (sl for short). It is essentially a video game where you can do anything you want. sl is literally my second life (pun intended lol). If you want to see more you can see these sl authors and blogs

  10. Have you ever heard of second life (sl for short). It is essentially a video game where you can do anything you want. Second life is literally my second life (pun intended lol). If you would like to see more you can see these second life authors and blogs

  11. Have you ever heard of second life (sl for short). It is essentially a online game where you can do anything you want. Second life is literally my second life (pun intended lol). If you would like to see more you can see these Second Life websites and blogs

  12. Have you ever heard of second life (sl for short). It is essentially a video game where you can do anything you want. SL is literally my second life (pun intended lol). If you would like to see more you can see these sl websites and blogs

  13. Have you ever heard of second life (sl for short). It is essentially a game where you can do anything you want. Second life is literally my second life (pun intended lol). If you would like to see more you can see these sl articles and blogs

  14. Have you ever heard of second life (sl for short). It is basically a video game where you can do anything you want. SL is literally my second life (pun intended lol). If you would like to see more you can see these second life articles and blogs

  15. Have you ever heard of second life (sl for short). It is essentially a game where you can do anything you want. SL is literally my second life (pun intended lol). If you would like to see more you can see these Second Life websites and blogs

  16. Have you ever heard of second life (sl for short). It is essentially a game where you can do anything you want. sl is literally my second life (pun intended lol). If you want to see more you can see these sl articles and blogs

  17. Have you ever heard of second life (sl for short). It is essentially a online game where you can do anything you want. Second life is literally my second life (pun intended lol). If you want to see more you can see these sl articles and blogs

Leave a Reply

Your email address will not be published.