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Readers' forum: Freelancer

13 August 2019
Issue: 4708 / Categories: Forum & Feedback

VAT on office extension to private house

My client who is looking to put an extension on his private house to be used as an office for his VAT registered trading business as a sole trader. He is a freelance writer. The client has asked whether he can claim input tax on the cost of the extension. I have done some research and some commentators say that 100% can be claimed but others say that he can only claim on the furniture and fittings. As a separate point would the position be different if my client traded as a limited company or would this be fine as long as the builder invoiced the company and the company paid the bill?

Query 19 410– Del Boy.

Reply by Gardener 

Will there be any private use necessitating an adjustment?

I had a similar situation with a client in 1993 in that case concerning a loft conversion. Back then...

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