CIS deadline looms

Those working in the construction industry may need reminding further that the new construction industry scheme (CIS) will be implemented next month.

Last month, HM Revenue & Customs (HMRC) launched a campaign to remind contractors of the changes in the law which will allow contractors to pay sub-contractors and assist with taxes.

Following concern from recruiters about whether HMRC's systems would be able to handle the changes, a spokesman told Recruiter magazine: "Our IT systems have been designed to cope with the changes arising from new CIS. We can confirm that we are ready to go live on April 6th."

He added that HMRC's systems has been exhaustively tested but would continue to be examined before the scheme comes into place. Changes to the scheme, announced by the chancellor in his 2003 Budget, were initially supposed to come into force in April 2005; however, the industry voiced concern that setting the date so early would not leave enough time for companies to prepare for the scheme.

As a contractor, what are your thoughts on the changes to the CIS rules? Are you ready for April 2007 - what impact will it have on your business? Let us have your comments.