Careful planning will reduce cost of CIS compliance

Colchester, UK - 13th December 2006 - Businesses could face fines of up to £3000 if they fail to submit accurate returns to HMRC or provide monthly Sub-contractor Payment & Deduction Statements under the new Construction Industry Scheme (CIS), which comes into force in April 2007.

Mid-market business and accounting software developer, Access Accounting, has been urging companies to take action now to avoid the penalties. In order to help businesses fully understand and plan for the changes, Access is continuing to offer a free copy of the recently published CIS white paper from the Business Application Software Developers Association (BASDA). 

Kevin Misselbrook, customer services director for Access Accounting, commented, "Part of our on-going campaign is to help our existing and potential customers understand the implications of the scheme.  As the legislation currently stands, a six month honeymoon period will be in operation but companies will receive automatic penalties for non-compliance from October 2007.

"However, now is the time to plan for the changes, which will include implementing new software, assigning resources and conducting staff training. Contractors should also start checking their records against the sub-contractor list being provided by HMRC this month.  They will need to submit vouchers promptly for any new sub-contractors whom they engage after October in order that they can be recognised and pre-verified by HMRC in March," he continued.

For more information on Access Accounting, or to receive a copy of the BASDA CIS white paper, please telephone 0845 3453300. Help with specific queries on the new legislation can be obtained by contacting the CIS helpline on 0845 366 7899.

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