If you are VAT registered, you add VAT to your prices and show it on quotes and invoices. If you aren't registered, you can't charge VAT and shouldn't show it.
Rates
- Standard rate (20%) applies to most building work.
- Reduced rate (5%) applies to some work, such as certain conversions and renovations of long-empty homes.
- Zero rate applies to some new-build dwellings and, for a period, certain energy-saving materials installed in homes.
The rules are detailed, so check HMRC guidance or an accountant for your job.
On the quote
Show your VAT number, the net price, the VAT amount and the gross total. Make it obvious to the client whether a figure includes VAT. Domestic clients usually think in VAT-inclusive prices.
This guide is general information for estimating. It is not engineering, legal or tax advice. Check the Building Regulations and Building Control for your project.