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Construction industry ducks £1.7bn in tax

UCATT survey warns of tax dodging in the construction industry

Kevin Reed, Accountancy Age 14 May 2008
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The Treasury is losing out on nearly £2bn in tax because construction workers are falsely describing themselves as self-employed, according to a survey by construction union UCATT.

Some workers are abusing the Construction Industry Scheme tax rules by gaining tax rebates and paying lower NI by claiming they are self employed, reports the FT.

Employers also benefit in those circumstances as they do not pay employers' NI contributions.

Further reading:

Contractors face £5m CIS penalties


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