Contents
All change for pensions
A waste of time & money
Tax credit mess
Fuel up (shock)
Gimme shelter
Gulp! SIPPS
Paper or plastic?
Re: Mortgages
Bank the cheque
Subs beware
VAT's the limit
Dividend end?
The buck stops
Sack with care
Selling up
A matter of trust
We're watching
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Workers and businesses in the construction industry have to be aware of CIS - the Construction Industry Scheme. This is a version of PAYE that applies to workers who aren't employees, but rather are sub-contractors of someone paying for building work - it's the Revenue's way of making sure that everyone pays tax in an industry that was in the past often populated by "ghosts" who vanished with their cash pay. The current rules were introduced in August 1999, but there is another big change coming on 6 April 2006. In theory, the new system seems to be an improvement on the current one - the Revenue will take more responsibility for telling contractors when they have to deduct tax from payments they make to other businesses, and there will be an end to the nuisance of having to produce a certificate with a photograph on it before a business can be paid. As usual, though, there are dire warnings that the Revenue and the industry won't be ready. The August 1999 system was put back a year from 1998 because they couldn't get it done in time (and we pay penalties for being a day late with a return!). So the new system might be late, or it might be a mess. Or it might work smoothly on 6 April 2006, as pigs fly gently over the building site. The details are important to building workers and businesses who receive payments, and also to businesses which do a lot of building work or are involved in engaging sub-contractors and paying them. If that's you, we will be happy to help you understand how the changes will affect you.  |
© Bayar Hughes & Co., 2010.