In conversation with Paul Farey of AECOM who is the main lead for the new HS Property Hub course on Tax Relief Tips, we asked him the following:

1. What would you say are the two main challenges facing developers at this time?

Working capital is a significant issue and the ability to leverage on available cash is key to the development process.  The tax system does provide a number of reliefs which are often overlooked, but that reduce or defer tax liabilities, improving the efficiency of cashflow.  In addition, the tax system is highly complex and disregarded as a below the line event to be picked up by others downstream.  An awareness of the key impacts can assist with pre-planning to ensure that there are, at worst, no nasty surprises later in the construction process.

2.  What two tips can you share on minimising tax when undergoing a development project, whatever scale it might be?

God is in the detail when it comes to tax and early consideration can highlight where the pitfalls and opportunities may be – giving developers the chance to consider options and take specialist advice where appropriate.  Information is also important and the need to obtain, analyse and retain project data will ensure that all reliefs are maximised and that an appropriate audit trail exists for future stakeholders or in the event of any enquiry from HM Revenue and Customs.

3. We're delighted AECOM will be presenting three very important briefings for the HS Property Hub starting with the first one on 15 September focusing on Taxation and Property/VAT.  Can you share two snippets of what we'll expect to hear? 

The capital allowances rules have changed significantly in recent years and many taxpayers are getting to grips with the detail of the new Structures and Buildings Allowance (SBA) – we will outline how this benefit works and the impact for future owners and occupiers.  We are also covering the implications of Research and Development (R&D) for the supply chain, considering the tax benefits of capturing the innovation in design, new materials and modern methods of construction.  We’ll be covering plenty of other tips too!

3-Part Online Educational Series

3-Part Online Educational Series