Construction & Real Estate Accountancy Accountant for Construction Industry

You know you’ll receive sound advice and a tailor made service to suit your needs as all AIMS Accountants are professionally qualified. And you’re protected as every member of AIMS carries professional indemnity insurance. At LJS, we can provide you with all the advice https://azbigmedia.com/real-estate/how-do-real-estate-accounting-services-improve-clients-finances/ you need to structure your business in the most tax-efficient way. We can also help you with your annual Self Assessment as well as your Annual Tax on Enveloped Dwellings . We’re a team of specialists who can tailor our level of service around your requirements.

More than 150,000 businesses connected to the construction industry have to make a fundamental change to the way they manage their VAT processes. Holding these assets in a tax efficient way and making full use of the tax reliefs and allowances available is an important aspect of ownership and this is where our tax planning measures can help. The ever-changing tax rules need to be understood and built into the plans and structure of the business. Any tax reliefs such as land remediation relief, capital allowances or even R&D relief, should be claimed where available. To be successful, developers need to maximise the output from the land and buildings developed.

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The subbie will then declare the CIS deduction on their end of year personal tax return. This is a legal requirement to provide monthly statements and can result in a fine. If you are the main contractor, you need to ensure you deduct CIS tax from your subbies, at a rate of 20% or 30%. When you engage a new subbie you need to obtain their UTR and NI number and approve them with HMRC. If HMRC approves the subbie then 20% is deducted from their labour costs, if they are not approved then the contractor should apply the emergency rate of CIS which is 30%.

Construction projects require timely payments between many stakeholders to maintain healthy business relationships. Record both cash and online payments in your accounts easily, and automate payment reminders for outstanding invoices to reduce late payments. They offer advice on acquisitions, mergers, management buyouts, raising funds and due diligence to ensure you make informed decisions that secure the future of your business.

Leading industry advice to help build your business upwards

As of March 2021, new changes will mean some companies must use the reverse charge for VAT charges on construction and building services and materials. It’s important to understand if these changes will affect your business and how to make sure you comply. With real industry experience, we help construction businesses implement smart CIS systems with a focus on saving time and resources. The Construction Industry Scheme, or CIS for short, is a statutory tax accounting scheme used by contractors and subcontractors in the construction sector. Under the scheme, contractors are required to deduct tax from a subcontractor’s wages – adding an additional, unwanted accounting requirement.

We have a team that specialises in Property and Construction, they have dealt with mixed-use development schemes, large Construction companies and property investment portfolios. In short, when you’re talking to us we not only know our Property Accounting we have the experience of having worked in a property company. We understand Development Finance, CIS, Variable VAT dependent new build or refurbishment as well as investor construction bookkeeping and bank reporting. Strong finances are key to both survival and success as they allow flexibility and agility in the market. Better finances mean greater buying power which in turn can ensure land is more easily obtainable, opportunities actionable, and therefore decisions are not taken out of the business’s hands. Good financial information and cash flow forecasts, ensuring budgets are set and managed are crucial.

Corporate Finance Support

At Pierce, we are proud to have offered accountancy and business consultancy services to the construction industry, property investment businesses, and property developers for over 25 years. As in the UK economy in general, construction activities have involved a major part of the McCabe Ford Williams client base since the Firm was established in 1936. Ralph Mitchison is a Menzies Partner and head of the firm’s property & construction sector group and has experience in advising property developers, investors and related professional services businesses. We’re able to advise on technology that will reduce your admin and allow your business to scale, ranging from project management software for your construction projects through to inventory management software to track materials. We also have a specialist outsourcing team should you wish to outsource the admin and focus on your day-to-day construction/property work, which also allows varying levels of management reporting to you to support decision-making.

These articles and related content is provided as a general guidance for informational purposes only. These articles and related content is not a substitute for the guidance of a lawyer , tax, or compliance professional. When in doubt, please consult your lawyer tax, or compliance professional for counsel. Sage makes no representations or warranties of any kind, express or implied, about the completeness or accuracy of this article and related content. If you are a customer with a question about a product please visit our Help Centre where we answer customer queries about our products. When you leave a comment on this article, please note that if approved, it will be publicly available and visible at the bottom of the article on this blog.

Specialist real estate accounting services

Use our booking form to schedule a 15-minute call with a member of our senior accounting team. With all options, we can assist in advanced reporting so you know where you are with your business. Fully outsource, simply hand over (scan / physically drop) paperwork and leave it to the bookkeeping team.

• If you are a customer with a question about a product please visit our Help Centre where we answer customer queries about our products.
• To maximise returns and avoid any pitfalls existing investment structures should be continually reviewed.
• We want to help you achieve tax savings through strategic planning, land remediation relief and enhanced capital allowances.
• Utilise technology, photos of receipts, bank feeds, online accounting platforms such as Xero.
• From stamp duty and VAT to property taxes, we’ll take care of all your tax obligations.
• Retail and Consumer Brands BDO is a market leader in the retail sector and our team of over 1000 specialists support many of the most well-known brands in the industry from our 18 locations around the UK.