Readers’ forum: Late developer

I act for a husband and wife who inherited some farm land about ten years ago with a probate value of £100 000. They have now acquired planning permission to build five new houses on the site. They plan to do the work themselves and sell the houses when they are finished. The land is now worth about £350 000 because of the planning permission so if they spend £500 000 on building costs and sell each house for £250 000 this will produce a very good profit.

My question is whether we could somehow structure the project so that they will pay capital gains tax on the enhanced land value of £250 000 as it was acquired through non-commercial means which will be at a much lower rate than if the profit is all subject to...