- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 02 Oct 2014
VAT refunds on self-build homes
Self-build homes and the conversion of non-residential buildings into dwellings may qualify to reclaim the VAT paid on eligible building materials and services. The building must not be intended to be used for business purposes.
The refund applies whether the home owner carries out the building work themselves, or whether they use builders to do some, or all of the work for them. Refunds are also permitted where the home owner adds to or finishes a partly completed new building, but not for extra work carried out on a completed building.
- A certificate or letter of completion from the local authority for building regulations purposes.
- A habitation certificate or letter from the local authority.
- A valuation rating or council tax assessment.
- A certificate from a bank or building society.
- The supplier's VAT registration number.
- The quantity and description of the goods and/or services.
- The purchaser’s name and address if the value is more than £100.
- The price of each item.
Claims can be made for:
- Building materials or goods incorporated into the building or conversion itself, or into the site (that is materials or goods that cannot be removed without using tools and damaging the building or the goods themselves). Exceptions include; fitted furniture, some electrical and gas appliances, and carpets or garden ornaments.
- If you are converting a non-residential building into a home, you can reclaim the VAT charged by your builder. For conversions, a builder can sometimes charge you a reduced rate instead of the standard rate of VAT.
VAT paid on any professional or supervisory services cannot be reclaimed (although in kit houses this may be wrapped-up in the price of the kit), neither can VAT paid on services such as the hire of plant, tools and equipment.
 Find out more
 Related articles on Designing Buildings Wiki
- Business rates.
- Kit house.
- Self build.
- Self-build home project plan.
- Self-build homes negotiating discounts.
- Self build initiative.
- Stamp duty.
- VAT - Option to tax (or to elect to waive exemption from VAT).
- VAT - Protected Buildings.
 External references
Featured articles and news
Chancellor announces latest Winter Support packages.
Tapping technology to boost infrastructure and create jobs.
4 ways to ensure certificates are valid.
White elephant construction projects.
How Paul Williams bent over backwards to overcome racial barriers.
Organisation revises actions around dealing with COVID-19.
CIOB, NFCC, RIBA, RICS call for changes ahead of Building Safety Bill.
Developments in the Future Homes Standard.
An American chimney feature with a colourful past.
Homes based on need, not ability to pay.
Historic England adds 216 entries to the 'at risk' register.
Will cycling and walking provisions be preserved?
Assembly point levels range from relative to ultimate.
Signs are pointing to a recovery for the construction industry.