Transitional properties - freehold or freehold equivalent interests held prior to 1 July 2008


This section deals with the supply of freehold or freehold equivalent interests in properties that were completed and held at 1 July 2008.

These properties are referred to as transitional properties.

The VAT treatment of a long lease, that was treated as a supply of goods under the VAT on property rules applying prior to 1 July 2008, are dealt with in Transitional properties – legacy leases.

Where a property is held at that date but is not completed, please refer to the section Value-Added Tax (VAT) and the supply of property.

Where a property is sold in connection with a contract to develop the property, the sale is subject to VAT in any event.

Next: When is the supply of transitional properties taxable?