Houses and Flats 

VAT for most work on houses and flats by builders and similar trades like plumbers, plasterers and carpenters is charged at the standard rate of 20% - but there are some exceptions. 

Zero Rate VAT 

You may not have to charge VAT on some types of work if it meets certain conditions, including: 

• building a new house or flat (external link) 

• work for disabled people in their home (external link) 

There is a separate guide on VAT refunds if you are building your own home (external link). 

Reduced Rate VAT 

You may be able to charge the reduced rate of 5% for some types of work if it meets certain conditions, including: 

• installing energy saving products and certain work for people over 60 (external link) 

• converting a building into a house or flats (external link) or from one residential use to another 

• renovating an empty house or flat (external link) 

• home improvements to a domestic property on the Isle of Man (external link) 

Buildings That are not Houses or Flats 

You do not need to charge VAT for construction work on certain other types of building (external link). 

See Also: 

• Building new homes (external link) 

• Work for disabled people (external link) 

• Energy saving and mobility aids (external link) 

• Other types of building (external link)