What we do

Value added tax (VAT)

VAT is applied to property in several was, whether upon the supply or service of a business property or upon construction work for its repair and refurbishment.

The supply of commercial property was brought within the scope of VAT by a changed interpretation of the EU 6th VAT Directive in 1989. Since then, commercial property owners have been able to opt to tax VAT on commercial leases. This option to tax will become eligible for revocation by landlords after 2009.

VAT is a hugely complex tax and is subject to persistent case law and change interpretations. This makes it imperative for our members to remain up to date with the latest developments and government initiatives.

Our VAT committee holds regular liaison meetings with HM Revenue & Customs and aims to improve and simplify VAT law, guidance and interpretation for the property sector wherever possible.