HMRC loses appeal against student halls VAT ruling
HM Revenue & Customs’ appeal against a ruling that overturned its student accommodation VAT policy has been rejected.
Glyn Edwards, VAT director at accountancy firm MHA MacIntyre Hudson, said that HMRC’s defeat brought benefits for companies involved in the construction of student housing as well as landlords and universities.
The decision not only provides reassurance to the student housing sector that subcontractors do not have to be paid VAT on new build student accommodation, but has additional implications beyond cash flow for all parties involved …