Construction Industry Scheme (CIS) Frequently Asked Questions - Transition
Transition
- Since the new CIS Service became effective in April 2007, should subcontractors destroy unused vouchers or send them to HMRC for cancellation?
- What is the situation if work is started prior to 6 April 2007 and finished after 6 April 2007?
- On the first monthly return in May 2007, will the paper and on-line returns be pre-populated from information held in the old system?
Q. Since the new CIS Service became effective in April 2007, should subcontractors destroy unused vouchers or send them to HMRC for cancellation?
A. They should be destroyed, but wait until HMRC tells you when to do so – don’t forget you might still need unused vouchers until you have completed them for all payments made on or before 5 April 2007.
Q. What is the situation if work is started prior to 6 April 2007 and finished after 6 April 2007?
A. The date of the payment is the critical factor. If the payment is made on or after 6 April 2007 it will be covered by the new scheme rules.
Q. On the first monthly return in May 2007, will the paper and on-line returns be pre-populated from information held in the old system?
A. Yes. If you use the free HMRC Online Return and Forms CIS service then HMRC will pre-populate the list of subcontractors from information held on the old system. If you use commercial software to file online then you should contact your software vendor for more information.
