Question asked by Maria Whitehead 5 days ago
I am new to clear books and have two properties which I am under the threshold for regsitering for VAT - however I expect to go over the threshold later this year at which point I will be able to reclaim tax paid so far for the year. I can't see how to show the VAT and there is no option to change VAT rate from non vat as far as I can see?
Hi Maria,
Unfortunately, our Property plans do not currently support VAT. These plans are designed specifically for non-VAT registered landlords to meet their MTD for Income Tax requirements. As such, there is no option to enable a VAT scheme or apply VAT rates to your property transactions within these specific plans.
Tommy
Best answerAhh - OK thank you Tommy,
Is there a similar option to upgrade which would give me the MTD and vat return option in the future when I get to that point?
Hi Maria,
No problem and unfortunately, we do not have an upgrade path yet. This is currently in the backlog with our Product team to review.
VAT on property expenses can only be reclaimed where it relates to standard rated rental properties such as holiday lettings or commercial property where you have opted to tax. In which case that would mean having to charge VAT on top of the existing rental charge when they became VAT registered. I.e. you can't simply reclaim input VAT without charging output VAT, apart from the specific partial exemption de minimis rule when you have other standard rated outputs as an individual.
Tommy
You must 