A: A VAT1614A form should be completed confirming the date of the option and exact location (e.g. address , post code, ordnance survey map outline) of the property/land concerned. From the 1st February 2023 HMRC will only send an automated response if the OTT is sent in by email. It is therefore wise to ensure the email title includes pertinent data (e.g. client’s VAT number, date of OTT, postcode/identifier of property). As explained in para 4.2.4 of Notice 742A, the OTT has legal effect even if HMRC does not acknowledge receipt of your notification. As a decision has been made in advance of renting the property out, then you should charge VAT, even if you have not received an HMRC acknowledgement. You should keep a copy of the signed VAT1614A form as well as retaining the automated e-mail response from HMRC as evidence of the property/land opted and the date of the option.
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