Suuba

Is VAT charged on commercial properties when bought outright?


Its charged on Leaseholds but is it applied to an outright sale..

Deep Singh

I'm not an expert, but some are some aren't, mostly the latter. The vendor will let you know the situation. Even if it is charged you should be able to claim it back, but will obviously have too find an extra 17.5% in the first instance.
If you look through auction catalogues of commercial prop some will say 'VAT is payable in respect of this lot'. When I asked my father in law about this (retired VAT inspector) he did explain why that was but I can't remember!

I could ask him again if you like