I know the first sale of a shared ownership property is treated as zero rated income and any sale after that is exempt - if you have 'person constructing' or 'person converting' status.
We are purchasing properties (previously occupied as a single occupancy dwelling) and converting them so the are then dwelling where several learning difficulty people live with their career. After the conversion they are sold as shared ownership.
I would just like confirmation that the shared ownership sale in this instance is treated as zero rated income.
Hi, this is a really complex area. I've just been ona course where this kind of thing was briefly touched upon, fortunately it isn't something that is relevant to my client base and to be honest if it was I would seek specialist assistance. Conversion from single to multi residential property was mentioned (though nothing specific to work/home buildings). One of the problems that was mentioned was that often the building contractors are not aware of the rules and the incorrect vat may be charged. I suggest you employ a specialist vat accuntant as it really isn't worth getting this wrong. I can find you the details of the speaker from the course I went on if you like.
