As many are aware, the HMRC has revised their approach surrounding the treatment of VAT on payments relating to damages and compensation i.e. dilapidations. The new approach we understood will come into effect from 1st March 2021, after the HMRC have advised a push back from the initial date of 1st February 2021.
Following recent rulings in the European Courts of Justice, compensation and damages payments for exiting a contract early have been considered as a payment which is envisaged under the contract, hence should be consider for VAT. Previously, HMRC classified such payments as outside the scope of VAT because they were not paid under the contract.
Whilst there is still uncertainty regarding the impacts to dilapidations settlements, it is considered that such payments of damages, will fall within the scope of VAT. Landlords and Tenants therefore need to plan for this and consider the implications of VAT at an early stage, including making allowances from a cash flow perspective.
We appreciate dilapidations can be a mind-field, never mind the complexities surrounding VAT and here at Bradley Mason, we are well placed to advise how best to exit your property. Please do not hesitate to contact the team for further assistance.
In training for her next championships, we are delighted to be sponsoring Naana again in 2020.
She is a blur in training!
Michael spotted the local wildlife while on a site in Aberdeen. He was quite glad of the fence separating them!
Julian joined the team at TK Maxx for their 2019 Comic Relief Property Thames Bridges Walk. The walk started at Putney Bridge to Tower Bridge and included walking across every bridge in between, a total of 20km. Julian then managed to slot in a couple of surveys, and walking a total of 32miles in the day.
The walk raised a fabulous £15,510 for Comic Relief.
In 2019 Jake will be competing in the British Super Bikes Championship in the British Junior SuperSport class which is aired live on Eurosport then repeated on a week evening on ITV4 viewed my millions of fans as well as the thousands viewing trackside over the weekend.
This is a massive Championship and a huge opportunity for Jake to be a part of it at such a young age. Bradley-Mason LLP are delighted to be one of the 3 main sponsors to enable this dream to come true.
Competing at the British Masters Championships in Birmingham this weekend, despite injury only a few weeks ago, Naana achieved double bronze in the 100m and 200m.
She is now preparing for the World Master Athletics Championships in Malaga, Spain next week. We could see her on Eurosport going for Gold!