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VAT Reverse Charge Pushed Back to 2020

As many of you may already be aware a new VAT reverse charge will be applied in the Construction sector.

Now coming into effect on 01 October 2020, contractors or businesses registered for VAT in the UK will have to pay the VAT due to HMRC instead of paying a supplier.

The reverse charge however will not apply to recruitment agencies/businesses who although are registered under the CIS scheme do not make onward supplies of the building and construction services in question. They merely supply construction workers, and are therefore exempt.

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