As the Economy improves and the Construction Industry expands, this course is proving very popular with businesses and other organisations involved in the Construction Industry.
Under the banner of improving the operation of the Construction industry, changes have been made and more changes are coming, including compulsory online filing of CIS returns from 6 April 2016 and compulsory online verification of new subcontractors from 6 April 2017. This course will consider all of these changes and discuss the impact on businesses and their advisors.
As the Industry expands and more skill shortages are identified, the procurement issue becomes ever more important. This course will look in depth at the problematic issue of the employment status of Construction workers and what steps can be taken to protect the engager from a successful HMRC ‘status challenge.’ The course will also take a brief look at what to do when the ‘taxman calls.’
The course focuses on the tax deduction implications of HMRC’s Construction Industry
Scheme, which applies to mainstream contractors, Local Authorities and other businesses incurring substantial costs on ‘construction operations.’ HMRC imposes automatic penalties for late submission of monthly returns and penalties for other failures, including failing to deduct the correct amount from payments made to subcontractors.
Problems continue to arise due to the failure of some businesses to register as a
contractor and/or subcontractor, resulting in the failure to check the payment status
of new subcontractors and to make deductions from subcontractors registered for
payment under deduction and from unregistered subcontractors. Many businesses
operating as Contractors and subcontractors risk losing their gross payment status
as a subcontractor if they fail to operate the scheme correctly and adhere to HMRC’s
compliance test for the business and/or its proprietors.
This course covers the whole process, from registration through to the engagement
and payment of subcontractors, also looking at work that comes within the scheme,
‘construction operations’ and work that should be excluded from reporting and the
need to make a deduction. Practical advice will be given on how to deal with disputes
with ‘suppliers’ who perhaps claim that their work is outside the scope of the Scheme.
Delegates will receive practical advice with worked case studies on all aspects of the
Scheme and there will be time available throughout the day to answer your questions.
Course Fees - Members/Non Members
- What is the scheme and who does this tax deduction scheme apply to
- What businesses are Contractors and/or Subontractors
- The ‘Deemed Contractor’ rules for businesses outside the main construction industry
- CIS Registration
– Contractor and Subcontractor Registration
– Registration for Gross Payment and the registration tests
- Construction Operations
– What work is within the scope of the scheme and what work can be excluded?
– Professional Work and when its within CIS or the costs should be excluded
– Mixed operations and contracts, a warning!
- Making payments to Subcontractors
– Subcontractor verification of tax payment status
– Changes to a subcontractors payment status
– Payments to Gross Payment Subcontractors and payments under deduction
- Monthly Returns and Declarations
– Online returns and registration
– Paper Returns
– Correcting errors on monthly returns
- Payments to HMRC
- CIS Penalty Regime
- Employment Status of Construction Workers
- Handling HMRC Inspections
- Construction Industry Scheme Checklist