HMRC offer technical guidance about the VAT reverse charge for those buying or selling building and construction services.
The guidance was updated in November 2022. There is a new section on scaffolding and the existing guidance has been updated in respect of the following:
- reverse charge exemption for end users and intermediary suppliers;
- how to tell the difference between ‘labour-only’ supplies of construction services and supplies of workers by employment businesses;
- accounting for VAT where you supply or receive construction services together with other goods or services;
- accounting for VAT on the hire, erection and dismantling of scaffolding;
- how the reverse charge affects supplies made by and to utility companies and how non-established taxable persons should account for VAT on construction services.