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HMRC seeks views on changes to Construction Industry Scheme

HMRC is seeking views on measures designed to simply and strengthen the Construction Industry Scheme (CIS).

22 May 2023

HMRC is seeking views on measures designed to simply and strengthen the Construction Industry Scheme (CIS).

A consultation on the issue considers whether it would be appropriate to add VAT to the list of taxes HMRC must consider when undertaking the statutory compliance test for receiving or keeping Gross Payment Status (GPS). The current CIS legislation does not allow VAT to be taken into account as part of the compliance test, which HMRC says brings a risk that traders who are not fulfilling their VAT obligations nonetheless are being given GPS.

HMRC is also seeking views in relation to how adding VAT could be given effect and the consequences for those affected.

Additionally, the consultation invites views on whether there are areas of the CIS that cause 'unnecessary administrative burdens'.

The consultation is running for 12 weeks and ends on 20 July 2023.

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Company details

020 7794 5757

Numera, 4th Floor Charles House, 108-110 Finchley Road, London NW3 5JJ

Numera is a trading name of Numera Partners LLP | Company Registration No. OC365787 | Place of Registration: England & Wales | Registered to carry on audit work in the UK by the Institute of Chartered Accountants in England and Wales.

About us

Numera is a newly established forward-thinking firm of chartered accountants, with over 25 years in experience of audit, accountancy, taxation and business advisory services.

We work with clients in a large variety of industries and sectors; from sole traders to multi-million pound turnover organisations. We aim to create and maintain a close relationship with our clients. By being so involved, we are able to identify opportunities for our clients as well as possible risks that our clients may be faced with.

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