A Henry Stewart Briefing
The Tax Treatment of Property Joint Ventures and Fund Vehicles

What the Wise are Doing

Chair
Julian Ghosh
Barrister
Pump Court Tax Chambers

Speakers
Christopher Cox
Tax Partner
Beachcroft Wansbroughs

Bo Kehinde
Real Estate Tax Solicitor
Eversheds LLP

Martin Lambert
Tax Director
Ernst & Young LLP

Graham McKay
Senior Manager
Indirect Tax
Real Estate Advisers
KPMG LLP

Karen McNicholls
Director
Deloitte

Richard Stratton
Tax Partner
Travers Smith

Simon Swann
Solicitor
Tax Department
Ashurst

Huw Witty
Partner
Richards Butler

 

UK Collective Investment Structures
• Introduction and comparison of various types of vehicles
• Tax considerations when choosing a suitable vehicle
• Authorised investment funds
• Introduction to topical stamp taxes issues in investment structures
• Summary of main tax issues
Simon Swann
Solicitor
Tax Department
Ashurst

Partnerships and Unincorporated Joint Ventures
• Legal form (limited partnerships, limited liability partnerships, general partnerships)
• When do each of them make sense now?
• Trading vs investment
• Tax transparency
• Multi-tiered lease structures
• Co-ownership and contractual joint ventures
• Offshore limited partnerships
Christopher Cox
Tax Partner
Beachcroft Wansbroughs

Corporate Joint Ventures
• Onshore vs offshore
• Suitability for development and investment JVs
• Financing and profit extraction
• Issues relating to share rights
Karen McNicholls
Director
Deloitte

Unit Trusts
• Onshore vs offshore
- Income
- Capital
• Trading vs investment – can unit trusts be used for development?
• Tax position of different investors
Richard Stratton
Tax Partner
Travers Smith

VAT
Common issues arising in JV structures:
• Identifying the taxable person
• Registering for VAT
• Electing to waive exemption
• Disposing of vehicle interests
• Other issues and opportunities
Graham McKay
Senior Manager, Indirect Tax
Real Estate Advisers
KPMG LLP

Capital Allowances
• Recent developments
• Who gets the allowances
• Ensuring the allowances can be used
• Advancing capital allowances
• Maximising capital allowances on developments
Martin Lambert
Tax Director
Ernst & Young LLP

Stamp Taxes
• SDLT on partnerships – how does it work?
- Introduction
• old rules
• FA 2004 change
• which partnerships are caught?
- Transfers of land to a partnership
• normal transactions
• basic principles and calculation of tax
- Transfers of partnership interests
• departure from stamp duty
• calculating the SDLT
• anti-avoidance
- Transfer of an interest out of a partnership
• what is chargeable consideration?
• calculating SDLT
• risks in identifying chargeable transactions
- Reliefs
• Disclosure rules
- Disclosure of direct tax schemes
- Government rationale
- Schemes requiring disclosure
- Excepted arrangements
- Who is required to disclose?
- When must the scheme be disclosed?
- Information required
- Scheme reference number
- Penalties
• Useful reliefs
- Corporate SPVs
- Offshore SPVs
- PFI/CPO/transfer of undertaking
- Works Exemption
- Section 64A
- Group relief and the effect of new anti-avoidance rules
Bo Kehinde
Real Estate Tax Solicitor
Eversheds LLP

International Aspects
• International JV structures
• JV or regulated fund?
• Choice of jurisdiction
• The tax issues that commonly arise
Huw Witty
Partner
Richards Butler