From October 2019, HMRC will be introducing a domestic reverse charge in order to tackle fraudulent behaviour in the construction industry. The measure will introduce a VAT reverse charge on certain building and construction services which will mean that the customer will be liable to account to HMRC for the VAT in respect of those construction services rather than the supplier (the 'reverse charge').
The domestic reverse charge will affect the supplies at the standard or reduced VAT rate where payments are required to be reported through the Construction Industry Scheme (CIS) up to the point where the customer receiving the supply is no longer a business that makes supplies of construction services. These businesses are referred to as 'end users'.
This is a radical change for the construction industry and the new rules may also affect other trades associated with the industry. Come along to hear from our specialists in the sector who will outline the practicalities of this change and how to minimise the impact on your business - #