2009 No. 2030
Income Tax

The Income Tax (Construction Industry Scheme) (Amendment) Regulations 2009

Made
Laid before the House of Commons
Coming into force
The Commissioners for Her Majesty’s Revenue and Customs1 make the following Regulations in exercise of the powers conferred by section 205 of the Finance Act 20032 and section 71 of the Finance Act 20043.

Citation, commencement and effect1.

(1)

These Regulations may be cited as the Income Tax (Construction Industry Scheme) (Amendment) Regulations 2009.

(2)

These Regulations shall come into force on 13th August 2009 and shall have effect in relation to deferred payment agreements made on or after that date.

Amendment of the Income Tax (Construction Industry Scheme) Regulations 20052.

(1)

The Income Tax (Construction Industry Scheme) Regulations 20054 are amended as follows.

(2)

In regulation 48 (default surcharge), after paragraph (7) insert—

“(8)

Section 108 of the Finance Act 20095 (suspension of penalties during currency of agreement for deferred payment) applies to a surcharge payable under this regulation with the following modifications—

(a)

in the Table in subsection (5), insert at the end—

“Specified payments within the meaning of regulation 38 of the Income Tax (Construction Industry Scheme) Regulations 2005

Surcharge under regulation 48 of the Income Tax (Construction Industry Scheme) Regulations 2005”

, and

(b)

omit subsections (7), (8), (9) and (11).”.

Dave Hartnett
Bernadette Kenny
Two of the Commissioners for Her Majesty’s Revenue and Customs
EXPLANATORY NOTE
(This note is not part of the Regulations)

These Regulations amend the Income Tax (Construction Industry Scheme) Regulations (S.I. 2005/2045) to provide that section 108 of the Finance Act 2009 applies with modifications to surcharges under regulation 48 of those Regulations.

The Regulations insert a new paragraph (8) in regulation 48 (default surcharge), so as to apply section 108 of the Finance Act 2009 to surcharges under regulation 48 for electronic payments made late. That section provides for the suspension of penalties during the currency of a deferred payment agreement.

A full impact Assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen.