1. These Regulations may be cited as the Income Tax (Construction Industry Scheme) (Amendment) Regulations 2015 and come into force on 6th April 2015.
2.—(1) The Income Tax (Construction Industry Scheme) Regulations 2005(1) are amended as follows.
(2) In regulation 4 (monthly return)(2) omit paragraphs (10) and (11).
(3) At the end of regulation 56(5) (application of sums deducted under section 61)(3) insert—
“but this paragraph does not apply to a qualifying sub-contractor within paragraph (5A).
(5A) A qualifying sub-contractor is within this paragraph if—
(a)that sub-contractor is subject to a winding-up under Part 4 of the Insolvency Act 1986(4), and
(b)that sub-contractor has—
(i)ceased trading,
(ii)permanently ceased making payments to which section 61 of the Act(5) applies in its capacity as a contractor, or
(iii)ceased trading and permanently ceased to make any payments within sub-paragraph (b)(ii).
(5B) Where a qualifying sub-contractor is within paragraph (5A), the Commissioners for Her Majesty’s Revenue and Customs may repay any sum deducted under section 61 of the Act to that sub-contractor during the tax year in which the deduction was made.”.
Jim Harra
Edward Troup
Two of the Commissioners for Her Majesty’s Revenue and Customs
2nd March 2015