Domestic reverse charge guidance clarified

HMRC has updated its VAT domestic reverse charge technical guide at the section ‘Scaffolding on zero-rated new build housing’ to confirm that, in a change to previous policy, there will be a transitional period to 1 February 2023 where businesses can use either reverse charge accounting or the normal VAT rules. The section on scaffolding was previously revised in November 2022 to cover supplies in relation to zero-rated new build housing and supplies for standard or reduced-rated construction work.