Money Saving Opportunities Despite Dramatic Times

Professional advisers in the commercial property market were among a full house of 65 delegates who attended the autumn seminar staged by Southampton based property taxation specialists E3 Consulting.  Tim Birkett of Dorset based accountants Birkett & Co Ltd commented “I attended E3’s recent seminar on Capital Allowances and was very impressed with the clarity and content as delivered by all the presenters.  It certainly gave me some 'value added' information and the presentation on property investment will certainly help me engage more positively with my higher net worth clients.”

The show focused on tax planning and the existing opportunities to achieve significant tax savings arising from property expenditure and investment at any stage of the property lifecycle, even in these challenging times.  The message emphasised by the four speakers was highlighted by examples of projects where substantial cash savings had been made thanks to clients taking early specialist advice and detailed attention to recent changes in the rules on tax allowances.

Alun Oliver, Managing Director of E3 Consulting shared his skills, expertise and experiences on maximising return on investment and improving cash flow, through optimising property expenditure and the resulting tax allowances, in particular through utilising Capital Allowances, VAT, Land Remediation Tax Relief and other property tax reliefs.

The cast also included Julia Jardine, Technical Director (Planning) of Poole based planning consultants, Terence O’Rourke, whose message was consistent with that of E3: that quality advice taken from an early stage of the development process will maximise the opportunities to add value to land and property assets.  Julia commented afterwards “Despite the significant changes to the planning system, good development is still needed to provide homes, jobs, services and environmental improvements.  Indications are that the government will be relying all the more on private sector investment in communities.  Taking early planning advice, adopting a strategic approach to development opportunities, and promoting high quality design, sustainability and genuine community engagement will ensure that planning remains a key way in which to add value to property and land.”

Last but not least, the spotlight fell on Paul Mitchell, Finance Director of Lewis Innovative Investments, Independent Financial Advisors based in Poole, who ended with an informative account from the client’s perspective of how E3 Consulting has benefitted him and their investors on numerous syndicated property acquisitions.  At the outset of every new venture, Paul ensures he contacts E3 Consulting for their specialist input and scope of potential tax savings inherent in the proposed transaction.  Paul said “E3 have helped clients who have invested in our non-pension Commercial Property syndicates reduce their personal tax burden by significant amounts. We will be seeking to continue this success with Lewis's future Syndicates.”

Out of six properties acquired by Lewis Aqua syndicates at over £10 million, E3 has achieved over £2m of Capital Allowances and the benefit to the investors of these allowances has been circa £850,000. 

The timely involvement of property taxation specialists can make a significant difference to the deal structure, yield additional value or avoid expensive mistakes, especially following the complex changes to the tax regime in recent years.