VAT on build to let
My understanding of the VAT rules is that VAT is reclaimable when you build a residence to live in but not when you build a residence to let out. Is this still the case? Was it ever? So a builder can build something and sell it VAT free to somebody who wants to let but the landlord cannot reclaim the vat on build (or convert/restore?) if their intention is to let?
I run a small business so I am aware that the VAT rules are a dog's breakfast but cannot reconcile this with the government calls for more build to rent and corporate landlords. Or is this a mechanism to maximise stamp dutytakings by forcing the repeated sale of property intended for rent?
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