A value added or subtracted
- 2006
- Estates Gazette (0602) 14 January 2006, 108(1) .
Analyses the criteria for revoking the option to apply VAT to property set out in HM Treasury's 2005 pre-Budget report. The option to tax legislation has always included a provision for revocation after a property has been within the option for 20 years but it requires HMRC's approval to revoke. The legislation was introduced in 1989 so revocations can arise from 2009. Looks at the conditions for revocation which if met fully will result in automatic consent to revoke. If complete compliance is not the case, it may still be possible to reach an agreement with HMRC based on special circumstances applying. Suggests that tenants wishing their landlords to revoke should insist on revocation being made at the earliest possible juncture and that landlords do nothing to invalidate that opportunity without first consulting their tenants.