CA32221 - IBA: Qualifying trade: Garages and vehicle repair workshops
A vehicle repair workshop is used for a qualifying trade because
it is used for a trade of maintaining or repairing goods. However,
most vehicle repair workshops do not qualify for IBA because the
use of most vehicle repair workshops is excepted use
CA32310. It will be a building where
retail trade or business, including repair work, is carried out.
A vehicle repair workshop will not be caught by the excepted
use exclusion and so will qualify for IBA if all of the following
conditions are satisfied:
- it is completely separated from the rest of a motor dealer's premises;
- it does not include the reception area for cars;
- it is a place to which access by the public is discouraged.
The workshop does not need to be in a separate building for (a)
to be satisfied and IBA to be available. If it is part of a larger
building the first condition will be satisfied provided that it
occupies a distinguishable part of the building and that part is
not used to any material extent for anything other than vehicle
repair.
In (c) the public means the ordinary retail customer. If
customers are allowed into the workshop condition (c) is not
satisfied.
Some firms fit tyres, exhausts, shock absorbers etc. but are
not traditional repair workshops. You should deal with an IBA claim
from one of them in the same way as an IBA claim from a traditional
vehicle repair workshop. In particular, if customers are invited to
inspect their vehicles before the work starts or after it is
finished the use will be excepted use and no IBA will be due.
