//Which supplies are affected?:-

• Construction, extension, demolition, alteration or repair of buildings or of any works forming part of the land • Installation in any building (whether or not in the course of construction) of a heating, lighting, air conditioning, power, water, drainage etc system • Internal cleaning of buildings (so far as carried out in the course of construction, extension, etc) • Painting or decorating the internal or external surfaces of any building. //Which supplies are excluded?:- • Manufacture of components for systems of heating, lighting, air conditioning, ventilation, power supply, drainage, sanitation, water supply or fire protection; • Professional services of architects or surveyors, building consultants etc; • Installation of seating, blinds and shutters; • Installation of security systems such as burglar alarms, closed circuit television and public address systems. Where a supply is zero-rated for VAT purposes (for example most services related to new residential housebuilding) there is obviously no risk to HMRC, so such supplies are not within the new scheme. In addition, where in anymonth the value of supplies made to a particular customer does not exceed £1,000, those supplies fall outside the scheme. The value of supplies within the new scheme scheme does not count towards the VAT registration threshold for the customer which is good news for smaller businesses with a turnover just below the £85,000 VAT registration limit.


Made with FlippingBook - professional solution for displaying marketing and sales documents online