MonicaG

Hi please could there clarification on what date is meant by "the occupier acquired the dwelling" below under section 8.3.4 for single household dwellings. Is this the purchase date of the property or when they moved in? To expand: we if a person died on the 31st May 2023 and then the house went through probate (and remained unoccupied during this period) and was sold prior to 31st May 2025 (ie prior to 2 years of inoccupation) e.g. March 2025 but the purchaser didn't start renovation until June 2025, and was also living onsite in a caravan whilst the renovation happens - would the reduction of VAT to 5% qualify to the listed qualified works. Or is this only possible if the property is purchased after the 31st May 2025? "8.3.4 People living in the premises whilst you carry out the work There are 2 empty house rules for situations when people are living in the premises while refurbishment work is being carried out. The first relates to all qualifying premises (read paragraph 8.2).The second only relates to ‘single household dwellings’. First rule If the ‘qualifying residential premises’ have not been lived in during the 2 years immediately before your work starts, all of your work is reduced-rated. This is the case even if the premises start to be lived in again while you are carrying out your work. The occupier must move in on a day after you start your work. But if, when your work starts, the premises are already being lived in, or have been lived in during the previous 2 years, all of your work is standard-rated. Second rule You can reduce rate your services of the refurbishment or alterations to a ‘single household dwelling’ where all the following conditions are met: The 2 years immediately before the occupier acquired the dwelling it had not been lived in. No renovation or alteration had been carried out in the 2 years before the occupier acquired the dwelling (you can ignore minor works that were necessary to keep the dwelling dry and secure). Your services are supplied to the occupier ― so if you are a subcontractor you must standard rate your work. Your services take place within 1 year of the occupier acquiring the dwelling."