Ask the Expert

While initially our role was adapting existing spaces, installing screens, sanitising stations and providing furniture for people to work from home, this soon changed. It then became more about redefining workspaces

to suit the new way of working. This included reducing the number of desks and introducing agile working, utilising free space for collaboration and breakout as people prepare to return to the office.

The single greatest change I have seen is the increased need for communication. This isn’t just about ensuring that the business can continue to operate effectively with people no longer able to talk to one another across an open plan office. It’s far more important than that. It’s about keeping an eye out for each other, ensuring mental health is high on the agenda and understanding that remote working is not always easy.

I don’t believe we will see a mass return to the office when restrictions are eased. The pandemic has been a catalyst for many businesses to re-evaluate their space needs. We are already seeing large companies choosing to downsize their office spaces where they can. Of course, with this comes a whole new set of challenges, such as storage, collaboration, better usage of space and greater hygiene requirements. I don’t see that our role will have changed that much – we will still be partners and advisors to our clients. There are just more considerations to add into the mix when designing any office space.

The most obvious is the increased demand for our services. Much more importance is being placed on space planning and, businesses that might have tried to do it themselves in the past have realised that there is a lot more to it – and that it is worth the investment.

The Final Certificate ends the contract, it states the Contract Sum as adjusted, less interim payments and the final payment to be made. It can be issued after the latter of: 1. The end of the rectification period, 2. The issuing of the Certificate of Making

Good Defects 3. The issuing of the statement of final adjustment to the Contract Sum. The Final Certificate has the effect of not only triggering the final payment mechanism, but also the conclusivity provision contained at clause 1.9 of many JCT forms. Clause 1.9.2 provides that the Final Certificate becomes conclusive evidence that all provisions requiring monetary adjustments to the contract sum, loss and expense reimbursement, and extensions of time have been effected and finally agreed. In our scenario, the Employer has issued a valid Final Certificate.

Clause 1.9.2 provides the parties with up to 28 days from the date the Final Certificate is issued to dispute the effects of the Final Certificate by commencing adjudication, arbitration or other proceedings. If a party starts proceedings, the Final Certificate is then only conclusive in relation to matters not in dispute and the conclusiveness is suspended for those disputed matters until decided in the proceedings. The Final Certificate is subject to the findings of those proceedings. In our scenario, the contractor has not started any proceedings within the 28 days.

If dispute resolution proceedings are not commenced in that 28-day period, then the Final Certificate becomes conclusive evidence that all monetary adjustments to the contract sum, loss and expense reimbursement, and all extensions of time are agreed and cannot be disputed. In our scenario, the contractor has lost the chance to dispute the £200K difference. Falling foul of the trap.

Simply refuting the Final Certificate, as our contractor above, does not protect you against the JCT’s conclusivity provisions. If you receive a Final Certificate, you need to act fast and issue proceedings such as adjudication, Arbicon’s speciality…

Gone are the days of copying and pasting! When MTDfV was first mandated in April 2019, HMRC deferred the digital link requirement to give business-owners time to adjust to the new rules. This dispensation ends on 1 April 2021, meaning data must be transmitted to the VAT return boxes without manual intervention. Spreadsheets that employ formulas can still be used, on the condition that they are API-enabled to facilitate submission. There must be an audit trail of the data’s digital journey, encompassing every ‘transfer, recapture or modification’ that takes place. If a business is concerned about compliance, it’s worth taking time now to plot the ‘journey’ their data takes to ensure each stage is via a digital link. Cloud-based packages, such as Xero, will continue to be compliant, provided you are entering all of the data.

The main advantages are less human error and greater efficiency. A lesser reliance on manual intervention and more efficient flow of data within the business means business-owners have access to accurate, real-time information which aids better and more progressive decision-making. Technology also benefits us, as we have more time to focus on the advisory input that our clients and businesses value.

HMRCs latest plans indicate that income tax and corporation tax will be brought into the MTD regime. Early adoption of digital tools and processes is key to getting ahead of the curve and can mitigate the challenges that businesses face when pushed into a corner by legislation. We are confident that software packages will continue to evolve to help businesses fulfil future obligations. What can businesses either worried about embracing digitisation, or unsure about whether they’re getting the most out of their existing software, do? Contact us to discuss your concerns and current processes; we can talk you through your options and ensure you’re making the most of the tools at your disposal. Changing long-standing practices can be daunting, but there is no growth without change!