Installation of manual window blinds qualifies for zero rating, HMRC confirms

In light of the First-tier Tribunal’s decision in Wickford Development Co Ltd (TC7864) HMRC has accepted that the installation of manual window blinds and shutters are building materials for the purposes of construction services. As a result they can now be zero rated.

Previously HMRC considered that such blinds - and other ‘window furniture’ - were not building materials and the VAT could not be recovered. See VATA 1994 Sch 8 group 5 note 22 and Revenue and Customs Brief 2/11.

The new policy does not extend to motorised window blinds which are included in the exceptions of the blocking order as electrical appliances. HMRC’s policy on curtains has not changed because they are not fixtures incorporated into a building.

This decision takes effect from 5 October 2020. In cases where VAT was disallowed an adjustment can be made on the VAT...