Vat on Property in Ireland-the Essentials

Vat on Property in Ireland-the Essentials


in this short video I want to take a
look and back on poverty in urban it’s gonna be an overview and it’s just going
to give you the essentials but not on property is something that you could
easily overlooked especially if you are buying commercial premises it’s less
likely to raise in relation to residential on the time or certainly
tanneries and will arise in relation to a commercial well let’s take a look and
see generally then in property transactions obviously you’ve got two
broad categories one is commercial woman size of a secondhand residential
property transactions are generally exempt from that for the first supply of
new residential property is labeled or not also a residential property or a
secondhand residential property that may give rise to a taxation of that
situation would be if you’re buying an apartment for example from a developer
who had originally constructed the property and had came back back back in
the construction in that situation you need to be very careful about the tax
treatment of the transaction because if the developer builder decides to attacks
the transaction you can do so just tax advantages and disadvantages one way or
the other what you need to be careful as to whether you’re buying the property
including or x2d partner obviously you want particular circumstances as to
whether you’re registered robot or not is a factor as well but something you
need to be careful of even in relation to secondhand residential property
Revenue Commissioners website have a very good page for VAT on property
transactions and I will warn you that bat and property can be a complex area
obviously buying a property is an investment it’s an expensive investment
capital intensive investment you do need to get legal advice would you need to
get taxation advice of absolute level generally deliberation the commercial
commercial property new building that is charged with a 13 and a half percent on
the new building and the new building is defined as force if I have a completed
property within five years of completion or the second and subsequent supply of a
property if the supply is made within five years of completion and the
building has been occupied for less than two years this is where it gets a little
bit me a bit complicated you do need Vice work me oddly the best
if you take from this video is the need to get taxation advice in applying
commercial property or just any issue of all clashes in any profits and Russia
commercial property and secondhand buildings properties developed after the
1st of July 2008 are exempt to the vendor and purchaser can jointly off the
tax and this mail call if it suits both parties and if both parties are
registered in fact it may well certain to jointly operative attacks this option
is not exercised then the vendor developer will face a
call back of a proportion of the VAT which is a ready team from revenue on
the acquisition or redevelopment of the proxy this callback will be calculated
from the park light of the property this is the situation that I described to you
at the beginning of this video where the developer might build property he will
claim that all the inputs and after a number of years may then be selling
either warden or towards the and Panna cottas
if that’s the case that he places in Sabha in respective apathy we claimed at
the outset unless he joined the office to tax the transaction that’s where it
just complicated predicates complex and for the party sir
he needs to be very aware of the possibility of that arising and he needs
to be clear as to the potential ability and he needs to be clear as to whether
he could be racist registered for that or no leasehold property after the
fourth of July 2008 all lettings are exempt from class
the landlord again however can elect to tax and charge back on the red defending
of a sudden he does not offer to tax it visits all by based on the fact he’s
already saved on the open and or acquisition of the property again this
is why you should get taxation advice before it means release because the
landlord may opt in the house to opt for commercial reasons to charge but it
won’t make any difference to you provided through register provider if
you’re not ready to talk about it we make it ring different if you are
registered for about clearly you can reach him the fast on the on the wrench
assignment of lease for commercial design and the surrender the assignment
of surrender of a long lease will be charged with the bath if the tenant was
the assignors wasn’t tighten completely in fact on craigory gentiles are the
development of the property again the jets a bit come fix my name is terry i
am a solicitor and in the hope you find this video useful if nothing else flag
up the possibility that there may be a complex difficult that situation to
consider when you’re selling property especially a commercial company 20 see
you soon if you do we might give a thumbs up tell me though

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