Those working in the UK’s construction industry will have to handle and pay VAT differently from 1 March 2021, unless there’s another last-minute Government u-turn.
The reverse charge affects VAT-registered businesses that operate under the construction industry scheme (CIS). These are usually tradespeople who either take on contracts or subcontract others within a typical supply chain.
As a result, you might need to change how you present information on your invoices to your customers and how you prepare your VAT returns. It may also impact on your cashflow. Read our update here to find out how the rules will be applied and what you need to do to get ready.