Select Page

The government has temporarily extended the time limit for notifying them of the decision to opt to tax land and buildings to 90 days.

Normally people are required to notify HMRC within 30 days of opting to tax and land and buildings by either emailing a scanned copy of the signed notification or printing and sending the notification which has been signed by an authorised person within the business. However, due to the impact of the coronavirus and social distancing making it difficult comply with the deadline, the rules have been temporarily changed for decisions made between 15 February and 30 June 2020.

While supplies of land and any buildings or structures permanently affixed to it are normally exempt from VAT, people may opt to tax it so they can recover any VAT incurred in making those supplies.

Notifications should be emailed to optiontotaxnationalunit@hmrc.gov.uk

If you are notifying HMRC as a business you can submit the form with an electronic signature. This can be sent from the authorised signatory themselves with their sign off in the email and the form or from someone else, however, HMRC need additional evidence that the signature is from a person authorised to make the option on behalf of the business. This can include:

  • An email from the authorised signatory to the sender within the business, giving authority to use the electronic signature
  • An email chain or a scan of correspondence showing the authority given by an authorised signatory

If you are an agent notifying HMRC that your customer has made a decision to opt and you email the form with an electronic signature, you need to send evidence that the signature is from a person authorised to make the option on behalf of the business and authority has been granted to you by the business to use the electronic signature. This can include:

  • A current email or email chain from an authorised signatory of your customer’s business, giving you authority to use this signature and to send the form on their behalf
  • A scan of correspondence showing authority is granted by an authorised signatory to use their electronic signature on the form and to send the form on their behalf

If you are looking to opt to tax land and building, our land and property experts would be delighted to help. Contact Ann Bibby on abibby@ellacotts.co.uk or 01295 250401.