What is CIS? 
The Construction Industry Scheme (CIS) is a HM Revenue and Customs (HMRC) income tax on self employed construction contractors. The current scheme uses a variety of cards, vouchers and certificates to ensure payment and legislation compliance.

Why are the government changing the scheme? 
The current system is cumbersome and costly for all. Both HMRC and the construction industry is seeking to reduce the burden. HMRC estimated the long-term savings to the construction industry to be £22m per year. The objective of the new CIS scheme is to increase the level of compliance, and ensure the employment status is correctly applied.

Who will the change affect?
The change will affect the majority of contractors

When does the change take effect?
As from 6th April 2007 all contractors are legally required to comply by the new rules. 

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