HMRC Issues New Guidance on CIS Penalties

HMRC has published new guidance explaining penalties under the Construction Industry Scheme (CIS) where payments or returns are linked to deliberate non-compliance.

The factsheet, known as CC/FS96, outlines how penalties may apply when HMRC determines that failures are intentional.

Businesses within the construction sector should ensure that:

• CIS returns are submitted accurately and on time.
• Records are maintained correctly.
• Payments to subcontractors are processed in accordance with CIS rules.
• Internal controls are reviewed regularly.

Deliberate errors can lead to substantial penalties, making compliance an area that construction businesses cannot afford to overlook.

If you require any assitance with Payroll or CIS, please do not hesitate to contact us on 01384 376 964.

Folkes Worton LLP Chartered Accountants
Accounting for the Future