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Hello, I'm Keith and happy to help you with your question.
I am of the opinion that this would make your establishment a Bed and Breakfast. The general trend of Private Retreat Guesthouses offer a more comprehensive service with company and enhanced meal provision like, for example lunch, afternoon tea and dinner.
I do hope I have assisted you with your query.
Thank you for your excellent support.
Keith. If I include a breakfast in our services,would we then not have to charge and be exempt from VAT.
If your turnover in any year approaches or exceeds 81K John then you would have to register the business for VAT as bed and breakfast is a standard rated supply. Here is the key wording from VAT Notice 709/3 which is in the negative, but covers this matter:
'If you supply a room that is not for the purpose of a supply of catering such as for a conference, your supply is exempt, provided you have not opted to tax. See Notice 742A Opting to tax land and buildings.'
The full notice can be found here:
Without catering the supply becomes exempt. Just a point to remember input tax under VAT can only be reclaimed on the proportion of standard, reduced or zero rated supplies, exempt supplies are excluded.
If you business is below the Turnover Threshold then you need not register at all and can ignore VAT.
Thanks excellent service good site,highly recommended worth another £10 at least. John
Delighted to have been of assistance.
You have already been most generous.
you say without catering VAT exempt
As I say I do not supply anything only
lease by legal signed documents to one person, who supplies all services including accommodation to his
chosen guests. John