We consider the role of independent single antenna relays in allowing for interference cancellation and for multiplexing of uplink and downlink communications, in the presence of multiple interfering users. For a specific practical scenario of interest, we construct interference neutralization schemes that are simple, distributed and which encode over both space and time, to achieve performance improvements over basic TDMA schemes. These improvements are quantified in terms of the achievable degrees of freedom (DOF), where asymptotic analysis reveals that in specific cases, these simple techniques achieve optimal DOF performance. {\textcopyright} 2011 IEEE.