§ Mr. Bishopasked the Chancellor of the Exchequer what representations he has received since the issue of Customs and Excise Notice No. 708, under which demolition of houses and new construction is zero rated for VAT purposes, asking for the zero rating of repairs of listed buildings in order to encourage further listing and the proper maintenance of those so listed.
§ Mr. HigginsThere have been representations on this matter from the Country Landowners Association, the British Tourist Authority and others. I would refer the hon. Gentleman to my 199W reply on 29th March to the hon. Member for Cannock (Mr. Cormack).—[Vol. 853, c. 378.]
Mr. R. C. Mitchellasked the Chancellor of the Exchequer if, for the purposes of liability for payment of VAT, he will define the difference between a small garage and a large garden shed.
§ Mr. HigginsThere would not necessarily be any difference in liability to VAT. The supply to the client of services in the course of the construction of a building, and of materials in connection therewith, is zero rated; and both a garage and a garden shed if permanent structures would be regarded as buildings.
Mr. R. C. Mitchellasked the Chancellor of the Exchequer whether VAT is payable on the construction of a garage to be used for the storage of garden implements.
§ Mr. HigginsThe use to which the garage is to be put would not affect the VAT position. Provided it can be regarded as a building for VAT purposes supplies to the client of services in the course of its construction and of materials in connection therewith would be zero rated.