Hi,
I have spent some time going thru old posts about this subject but frankly am still very confused! I bought my property back in 2009 when it was still necessary to establish a company. I am now looking to sell the property but can find no clarity as to how VAT is applied to a sale. Two possible scenarios now exist (i) the buyer is happy to buy the company and its assets (ie. the property), or (ii) the buyer is not interested in buying the company. My lawyer seemed to indicate that from a VAT perspective it would be preferable if the buyer takes the company, implying that VAT is then no longer payable. There also seems to be the threshold figure of 50,000 LB above which VAT is to be paid. Does this mean that VAT is calculated as 20% of the selling price minus 50,000 LB? I have scoured the internet trying to understand this (as ultimately it influences the selling price) but seriously need some guidance. Another point of concern. If the buyer agrees to purchase the property, does the company have to be closed or does it automatically become 'dormant' from the annual accounts returns perspective? Selling seems so complicated! Any advise will be much appreciated.
Please help.
I didn't find the right solution from the Internet.
References:-
http://www.mybulgaria.info/forum/viewtopic.php?t=46419
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Thanks!