# The Value Added Tax (Conversion of Buildings) Order 2001, Note: Explanatory note


(This note is not part of the Order)
This Order, which comes into force on 1st August 2001, replaces Note (7) in Group 5 of Schedule 8 to the Value Added Tax Act 1994 (c. 23) (“the Act”) and introduces a new Note (7A). The latter Note is also applied for the purposes of section 35 of the Act.
The new Notes are set out in Article 3 of the Order. Each contains a change in the definition of a “non-residential” building or part of a building, for the purposes of items 1(b) and 3, respectively, in Group 5 of Schedule 8 to the Act. The new definition will now include buildings, or parts of buildings, that have not been used as a dwelling or number of dwellings or for a relevant residential purpose for a period of ten years or more.
Section 35(4) of the Act applies the notes to Group 5 of Schedule 8 for the purposes of construing section 35 (refund of VAT to persons constructing certain buildings). Article 4 of the Order makes it clear that it is the definition in new Note (7A), and not Note (7), that applies for the purposes of section 35 of the Act.
A Regulatory Impact Assessment (VAT: on Housing) was published on 7 March 2001 and can be obtained from Construction and Utilities Team, Commercial Division, Customs and Tax Practice, HM Customs and Excise, New King’s Beam House, 22 Upper Ground, London, SE1 9PJ or from the HM Customs and Excise Website (www.hmce.gov.uk).

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Source: https://www.legislation.gov.uk/uksi/2001/2305/note (the official version)
Page: https://openlegislation.uk/value-added-tax-conversion-of-buildings-order-2001/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.