Home Renovation Initiative (HRI)

ButtersSuki

Question on the newly announced HRI, with the max amount set for a renovation/extension at €30k (though I have also read (€35k), could you in theory say commission an extension for say €50k and get two receipts for say €25k each?

martinn123

ButtersSuki wrote: »

Question on the newly announced HRI, with the max amount set for a renovation/extension at €30k (though I have also read (€35k), could you in theory say commission an extension for say €50k and get two receipts for say €25k each?

Details in the Finance Bill, due shortly, but I doubt your cunning plan, will work.
Amount as announced in Budget speech, between 5K and 30k.Plus VAT at 13.5%

DOCARCH

I'd say its a one off/per person so no individual can make multiple claims over the lifetime of the scheme.

martinn123

Looks like this is going to commence, with works, from this Friday.

This is in response to various reports of works being postponed to the New Year.


Finance Bill, this week, will clarify,


Dust down the mixers, lads.

DOCARCH

martinn123 wrote: »

Looks like this is going to commence, with works, from this Friday.

Yeah, this was reported on RTE news earlier.

Hootanany

Hallaludga

martinn123

Attached a copy of the details from the Finance Bill as published to-day

T'is a mighty tome, not an easy read, but you will get all the details here

scwazrh

Does anyone know what happens if the contractor is a fully registered and insured company but does not hold a tax clearance certificate?Is that contractor a qualified contractor or will it be decided on a case by case basis by the revenue such as the ros rct rate currently is?

davidclayton

So how do you actually apply for the scheme? Through the revenue online service or is there a form or something?

martinn123

scwazrh wrote: »

Does anyone know what happens if the contractor is a fully registered and insured company but does not hold a tax clearance certificate?Is that contractor a qualified contractor or will it be decided on a case by case basis by the revenue such as the ros rct rate currently is?

Details so far, suggest Contractor has to have a Tax Clearance Cert.
Householder also has to have paid Property Tax, as the house identifier number is required to apply

davidclayton So how do you actually apply for the scheme? Through the revenue online service or is there a form or something?

Application will be on line through ROS.

You apply in advance, supplying Tax Ref No of Contractor, Property Identifyer No for Property Tax And details of the works, cost etc
If approved Revenue will supply a unique Ref No. For the Job, and you submit for a Tax Credit over the following 2 years
It,s not set up yer on ROS. as in effect it starts fron 1st Jan although works carried out from the start date in Nov. will qualify.

lownhard

I was thinking about this scheme with regards to a new build. Once water and electricity are connected to a new build could any work after that be considered renovation work on a principal private residence. You put in a crap 50 euro kitchen sink unit into your new build and then 2 weeks later you decide to renovate your 'existing kitchen' by purchasing a 10k kitchen. Or you put down a scrap of lino in your new build and then a month later replace it with 100sqm of engineered flooring. Is this not renovation and therefore 'qualifying work'?

Crazy Eye

you will possibly have to wait up to 2 years from the date of the completed work to get the money back . so if you got 5k work of work don today you mightnt get your money back from the goverment and revenue for 18 months to 2 years .
white goods , carpet , furnituref , looring are all excluded so anyone getting a kitchen and fitted appliences for around 5k wont get anything back .
oh and the 5 k is exluding vat so it must be work to the value of 5k before vat is added .
the goverment and revenue have made it alot more complicated than people seem to realize. all tradesmen and companies must be fully registered and tax complient and the householders must be fully paid up on property tax and hhc charges .
i think there is an element of big brother spying and checking up on people with regards the goverment and revenue and the hoops to be jumped through,so this scheme wont suit everyone with regards their finances and what work they are getting done .
full detail here on revenue
http://www.revenue.ie/en/tax/it/reliefs/hri/index.html

daithi7

martinn123 wrote: »

Details so far, suggest Contractor has to have a Tax Clearance Cert.
Householder also has to have paid Property Tax, as the house identifier number is required to apply


Application will be on line through ROS.

You apply in advance, supplying Tax Ref No of Contractor, Property Identifyer No for Property Tax And details of the works, cost etc
If approved Revenue will supply a unique Ref No. For the Job, and you submit for a Tax Credit over the following 2 years
It,s not set up yer on ROS. as in effect it starts fron 1st Jan although works carried out from the start date in Nov. will qualify.

That's interesting I was onto revenue today and they were saying that the contractor is the one who must apply for you. You just give them your house ID (i.e. LPT number) and then they apply for you on-line.

Seems dumb to me, its hard enough to get a contractor to send you a normal quote , or invoice, not to mind a tax number but to get them to apply to revenue for a rebate scheme for the customer- you're havin a larf mate!!

kilclon

daithi7 wrote: »

That's interesting I was onto revenue today and they were saying that the contractor is the one who must apply for you. You just give them your house ID (i.e. LPT number) and then they apply for you on-line.

Seems dumb to me, its hard enough to get a contractor to send you a normal quote , or invoice, not to mind a tax number but to get them to apply to revenue for a rebate scheme for the customer- you're havin a larf mate!!

Get a different contractor

martinn123

daithi7 wrote: »

That's interesting I was onto revenue today and they were saying that the contractor is the one who must apply for you. You just give them your house ID (i.e. LPT number) and then they apply for you on-line.

Seems dumb to me, its hard enough to get a contractor to send you a normal quote , or invoice, not to mind a tax number but to get them to apply to revenue for a rebate scheme for the customer- you're havin a larf mate!!

Looks like one or two, managed to get the details to Revenue

The Revenue Commissioners announced that, as of last night (08/05/14), over 3,780 contracts in respect of 3,100 properties with a value in excess of €65m were entered onto HRI online. Home owners who had qualifying work carried out and paid for between 25 October 2013 and 10 April 2014 need to get their contractor to enter their details online using the property owner’s LPT property ID now.

mtm100

Hi,
I'm currently claiming some monies back via this, and despite a plumber saying he was compliant; he is now saying he is not VAT registered (i think he is) - not sure what the problem is.

Do you know how you can check if somebody is tax registered?
Regards

sydthebeat

mtm100 wrote: »

Hi,
I'm currently claiming some monies back via this, and despite a plumber saying he was compliant; he is now saying he is not VAT registered (i think he is) - not sure what the problem is.

Do you know how you can check if somebody is tax registered?
Regards

Yes, their invoices will show a VAT reg number......

If their turn over is too small to be registered for VAT, they should be able to provide you with proof of this in a Tax Clearance Cert.

martinn123

sydthebeat wrote: »

Yes, their invoices will show a VAT reg number......

If their turn over is too small to be registered for VAT, they should be able to provide you with proof of this in a Tax Clearance Cert.

Yes but, if they are not registered for VAT, and do not charge you, I doubt if you will qualify for this Initiative, after all the rebate is the VAT charged,

sydthebeat

martinn123 wrote: »

Yes but, if they are not registered for VAT, and do not charge you, I doubt if you will qualify for this Initiative, after all the rebate is the VAT charged,

Good point

mtm100

Thanks for the feedback,

I know if he is not tax compliant i will not recieve the monies back, but i think he is and maybe - just can't be bothered! what i wanted to check was he tax compliant i.e. by checking a system, internet (not sutre where) but not having to rely on his receipts (which i have not recieved).

Any way i can check VAT compliance without relying on anything from him?

Thanks

martinn123

mtm100 wrote: »

Thanks for the feedback,

I know if he is not tax compliant i will not recieve the monies back, but i think he is and maybe - just can't be bothered! what i wanted to check was he tax compliant i.e. by checking a system, internet (not sutre where) but not having to rely on his receipts (which i have not recieved).

Any way i can check VAT compliance without relying on anything from him?

Thanks

The only way to check is to ask for
a. A Tax Clearance Cert.
b. a recent letter from Revenue regarding any Subbing work he has done, which would state, he is subject to a 20% retention, anything more than 20% confirms he has a problem.
c. his ability to register details of your job on ROS, inability to register the job, again suggests a problem

Other than that you are looking for details which are private and between, him and Revenue.

Were you actually charged VAT, did you get a quotation, X plus VAT.

mtm100

Thanks Martinn123,

It was all done in an informal way; a price was agreed with no express statement of VAT But it was never a quote for 'cash'. he did say that he was ok for the scheme (but likes lots of others had not been exposed to it). He does seem to be legititmate - existing payments have been via cheque, he advertises freely - which makes me think he is ok for VAT.

Am i missing something with my assumptions?

martinn123

mtm100 wrote: »

Thanks Martinn123,

It was all done in an informal way; a price was agreed with no express statement of VAT But it was never a quote for 'cash'. he did say that he was ok for the scheme (but likes lots of others had not been exposed to it). He does seem to be legititmate - existing payments have been via cheque, he advertises freely - which makes me think he is ok for VAT.

Am i missing something with my assumptions?

No, I think your assumptions are spot on.

many Contractors, and Customers, while aware of the Scheme, just assume you need an Invoice, and the Customer somehow, gets the Tax back, by sending it to Revenue.

As you now see, it requires a bit of work, by both sides, after all why would Revenue give you back your own cash, without making you jump through various hoops.:rolleyes:

mtm100

Thanks Martinnn

So it's just laziness on his behalf that is holding him up?

Fairly new to the process so all advice helpful!
Mark