No apologies for returning to the perennial question (s) of garden offices and tax, with Saint & Co Chartered Accountants the latest experts to pitch in with their thoughts on VAT, capital gains, capital allowances, and depreciation. Here's a snippet (click the link above to read the whole thing which is short and to the point):
Can I reclaim the VAT on the cost of my garden office?As always, we recommend you talk to your tax advisor before taking any financial decisions.
If you are VAT registered and build it through your business then absolutely YES. Some key pointers below:
*Ensure the business pays for all costs, you cannot claim the vat back if you pay personally
*If you are planning to use the garden office for personal use as well you are only able to claim back a portion of the VAT
*Clients under the flat rate VAT scheme can only reclaim capital purchases no less than £2,000. VAT cannot be reclaimed for services. Ensure materials are bought separately to any installation costs
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