How SIA approved contractors are meant to tax sub-contractors
Published 25 June 2026
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Request
Does the SIA insist that SIA approved contractors treat sub-contracting companies as employees and collect tax as if they were individuals? As a follow-up please provide the regulation that reflects this.
Response
The SIA holds the information that you have requested.
Within the Approved Contractor Scheme (ACS) workbook guide it states at 4.2.1 that all companies must adhere to all relevant legal requirements such as PAYE and National Insurance.
In addition, HM Revenue and Customs has also recently written to all SIA approved contractors and other security companies on how to tax security companies correctly. For ease of reference, we attach a copy of the letter.
[Ref: FOI 0611]