SCHEDULES
F13SCHEDULE 7A CHARGE AT REDUCED RATE
C1Part 2 THE GROUPS
Sch. 7A Pt. 2 modified (30.6.2008) by The Value Added Tax (Reduced Rate) (Smoking Cessation Products) Order 2008 (S.I. 2008/1410), arts. 1-3
Group 7 — F10RESIDENTIAL RENOVATIONS AND ALTERATIONS
Sch. 7A Pt. 2 Group 7 Title substituted (1.6.2002) by virtue of The Value Added Tax (Reduced Rate) Order 2002 (S.I. 2002/1100), art. 5(a)
ITEM NO.
1
The supply, in the course of the renovation or alteration of F1qualifying residential premises, of qualifying services related to the renovation or alteration.
2
The supply of building materials if—
a
the materials are supplied by a person who, in the course of the renovation or alteration of F2qualifying residential premises, is supplying qualifying services related to the renovation or alteration, and
b
those services include the incorporation of the materials in F3the premises concerned or their immediate site.
NOTES:
1Supplies only partly within item 1
1
Sub-paragraph (2) applies where a supply of services is only in part a supply to which item 1 applies.
2
The supply, to the extent that it is one to which item 1 applies, is to be taken to be a supply to which item 1 applies.
3
An apportionment may be made to determine that extent.
F42Meaning of “alteration” and “qualifying residential premises”
1
For the purposes of this Group—
“alteration” includes extension;
“qualifying residential premises” means—
- a
a single household dwelling,
- b
a multiple occupancy dwelling, or
- c
a building, or part of a building, which, when it was last lived in, was used for a relevant residential purpose.
- a
2
Where a building, when it was last lived in, formed part of a relevant residential unit then, to the extent that it would not be so regarded otherwise, the building shall be treated as having been used for a relevant residential purpose.
3
A building forms part of a relevant residential unit at any time when—
a
it is one of a number of buildings on the same site, and
b
the buildings are used together as a unit for a relevant residential purpose.
4
The following expressions have the same meaning in this Group as they have in Group 6—
“multiple occupancy dwelling”(paragraph 4(2) of the Notes to that Group);
“single household dwelling”(paragraph 4(1) of the Notes);
“use for a relevant residential purpose”(paragraph 6 of the Notes).
3Items 1 and 2 only apply where F5premises have been empty for at least F142 years
F61
Item 1 or 2 does not apply to a supply unless—
a
the first empty home condition is satisfied, or
b
if the premises are a single household dwelling, either of the empty home conditions is satisfied.
F72
The first “empty home condition” is that neither—
a
the premises concerned, nor
b
where those premises are a building, or part of a building, which, when it was last lived in, formed part of a relevant residential unit, any of the other buildings that formed part of the unit,
have been lived in during the period of F142 years ending with the commencement of the relevant works.
3
The second “empty home condition” is that—
a
the dwelling was not lived in during a period of at least F142 years;
b
the person, or one of the persons, whose beginning to live in the dwelling brought that period to an end was a person who (whether alone or jointly with another or others) acquired the dwelling at a time—
i
no later than the end of that period, and
ii
when the dwelling had been not lived in for at least F142 years;
c
no works by way of renovation or alteration were carried out to the dwelling during the period of F142 years ending with the acquisition;
d
the supply is made to a person who is—
i
the person, or one of the persons, whose beginning to live in the property brought to an end the period mentioned in paragraph (a), and
ii
the person, or one of the persons, who acquired the dwelling as mentioned in paragraph (b); and
e
the relevant works are carried out during the period of one year beginning with the day of the acquisition.
4
In this paragraph “the relevant works” means—
a
where the supply is of the description set out in item 1, the works that constitute the services supplied;
b
where the supply is of the description set out in item 2, the works by which the materials concerned are incorporated in F8the premises concerned or their immediate site.
5
In sub-paragraph (3), references to a person acquiring a dwelling are to that person having a major interest in the dwelling granted, or assigned, to him for a consideration.
3AF11Items 1 and 2 apply to related garage works
1
For the purposes of this Group a renovation or alteration of any premises includes any garage works related to the renovation or alteration.
2
In this paragraph “garage works” means—
a
the construction of a garage,
b
the conversion of a building, or of a part of a building, that results in a garage, or
c
the renovation or alteration of a garage.
3
For the purposes of sub-paragraph (1), garage works are “related” to a renovation or alteration if—
a
they are carried out at the same time as the renovation or alteration of the premises concerned, and
b
the garage is intended to be occupied with the premises.
4Items 1 and 2 only apply if planning consent and building control approval obtained
1
Item 1 or 2 does not apply to a supply unless any statutory planning consent needed for the renovation or alteration has been granted.
2
Item 1 or 2 does not apply to a supply unless any statutory building control approval needed for the renovation or alteration has been granted.
4AF12Items 1 and 2 only apply if building used for relevant residential purpose is subsequently used solely for that purpose
1
Item 1 or 2 does not apply to a supply if the premises in question are a building, or part of a building, which, when it was last lived in, was used for a relevant residential purpose unless—
a
the building or part is intended to be used solely for such a purpose after the renovation or alteration, and
b
before the supply is made the person to whom it is made has given to the person making it a certificate stating that intention.
2
Where a number of buildings on the same site are—
a
renovated or altered at the same time, and
b
intended to be used together as a unit solely for a relevant residential purpose,
then each of those buildings, to the extent that it would not be so regarded otherwise, shall be treated as intended for use solely for a relevant residential purpose.
5Meaning of “supply of qualifying services”
1
“Supply of qualifying services” means a supply of services that consists in—
a
the carrying out of works to the fabric of the F9premises, or
b
the carrying out of works within the immediate site of the F9premises that are in connection with—
i
the means of providing water, power, heat or access to the F9premises,
ii
the means of providing drainage or security for the F9premises, or
iii
the provision of means of waste disposal for the F9premises.
2
6Meaning of “building materials”
In this Group “building materials” has the meaning given by Notes (22) and (23) of Group 5 to Schedule 8 (zero-rating of construction and conversion of buildings).
Sch. 7A inserted (11.5.2001 with effect as mentioned in s. 99(7)(a) of the amending Act) by 2001 c. 9, s. 99(5)(7)(a), Sch. 31 Pt. 1 para. 1