HMRC have today published confirmation that they will be withdrawing a generous VAT concession for Housing Associations. Previously, Partial Exemption Special Methods (PESM) agreed under the Housing Association Framework could be backdated up to four years without authorisation. From 1 May, HMRC will require Housing Associations to agree a start date in line with standard backdating rules. Housing Associations currently working on a PESM application should ensure that it is submitted prior to 1 May in order to benefit from the concession!
Source HMRC
