HMRC announces a consultation on new proposals – labour only subcontractors

Those involved in engaging workers in construction, building and its related trades are aware of the numerous attempts HMRC has made to control the number of labour only subcontractors taxed through CIS who ought to be taxed under PAYE. All employers have wrestled with the problem in its many manifestations – trying to find workers prepared to work in PAYE, trying to remain competitive against other firms whose workforce is self employed, trying to move workers from one system to the other and back again. Despite threats, coercion and new returns for the new CIS scheme, the problem has never been solved. For further information click here to download the PDF