Impact of variations in national and sub-national income tax

20 Jan 2020

It derives from submissions to government by the CIOT and the CLA promoting a level playing field in tax terms between the traditional models and various routes to collaboration, and from HMRC‚ s response (in August 2019) requiring evidence of the extent to which taxation is a factor in hindering collaborative approaches.

HMRC‚ s response pointed to insufficient evidence to take the matter further but invited further evidence of taxation hindering developments and how taxation compares in importance to other factors affecting development, for example planning rules, section 106 / community infrastructure levy, and whether there are regional variations.

The survey aims to establish whether, and to what extent, tax influences the choice of:

a traditional option/purchase model whereby the developer secures an interest over the land via options (or similar) while planning permission is obtained, with final disposal and full payment to the landowners following grant; or adopting a method of land assembly that involves collaboration such as an equalisation agreement, a land pooling trust, special purpose vehicle or cross options.

If you have been involved in multiple developments, please could you complete the survey for each relevant development. The survey is designed so that you will only be asked to answer the questions relevant to the development scenario.

Providing Land for Development survey

The survey should only take 5 minutes.

Please forward the link on to others with experience of housing developments.