The New Construction Industry Scheme - Are You Ready?
February 2007
The new Construction Industry Scheme finally comes into effect on 6 April 2007 and has implications for everyone in the construction industry.
The original Construction Industry (Tax Deduction) Scheme was introduced in 1972 to combat perceived avoidance and to deal with an increasingly self employed workforce. This was changed in 1999 but the compliance burden was proving too onerous.
As a consequence a completely new scheme has now been drawn up, replacing cards, certificates and an annual return with a new verification procedure, monthly status declaration and returns. What will this mean for your business and what do you need to do now to prepare?
As part of an ongoing programme for the property and construction sector, Greenhalgh & Co Chartered Accountants, in conjunction with Greenpay Payroll Bureau Ltd, held a breakfast seminar which will looked at the taxation implications of the new scheme for both construction businesses and sub-contractors.
The presentation outlined the requirements of the new Scheme, and gave practical advice on how to prepare for implementation to ensure that you comply. It included the scope and limits of the new scheme, the new status declaration, penalties for non-compliance and how to manage potential problems.
For a copy of the presentation slides, click here. (File size 476KB)