Building VAT Cut on the Cards?

According to a press release by the Royal Institute of British Architects, the rate of VAT is to be cut to 5 per cent for home maintenance and repair services, a move that should help the construction and related industries.

However, no government announcement on this has yet been made, and is unlikely to be in the near future despite extensive lobbying by the building industry. The autumn pre-budget statement is therefore the next time such an announcement is likely.

Partner Note
MEPs voted in February to approve a cut in VAT for this type of supply. See http://www.architecture.com/NewsAndPress/.

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