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Important changes to Construction Industry Scheme legislation

Important changes are now in place if you are a subcontractor within the construction industry. As of Tuesday 19th April 2016, significant changes to the Construction Industry Scheme (CIS) legislation were implemented by HMRC, which will impact the things you need to do in order to remain compliant. 

The CIS is a method of deducting tax from payments made to subcontractors or freelancers in the construction market within the UK in order to reduce tax avoidance, and the aim of this new legislation being introduced is to enable more companies to achieve gross payment status. 

Read more: Important changes to Construction Industry Scheme legislation

Is your company paying too much VAT? Find out how you could potentially save money

If your business is on the VAT flat rate scheme, an HMRC-run scheme designed to save small businesses time and sometimes money, then you could potentially be eligible for a rebate.

With the Flat Rate Scheme, businesses pay a fixed rate of VAT to HMRC, and keep the difference between what they charge customers and what they pay to HMRC. However within this scheme, the rate percentage you should be paying varies depending on what sector you’re in.

Read more: Is your company paying too much VAT? Find out how you could potentially save money

Annual reporting is changing from April 6th – don’t be an April fool!

From 6th April 2016 the method in which relevant companies and LLPs file annual returns is changing. Where previously companies only needed to record the immediate, legal owners of their shares, a business is now required to identify relevant persons who ultimately have control of the company.

A ‘People with Significant Control (PSC)’ register will now be required along with a company’s ‘Confirmation Statement’, which will replace the annual return. This will continue to be filed on an annual basis.

Read more: Annual reporting is changing from April 6th – don’t be an April fool!