CISR48710 - Register and maintain subcontractor: appeals against refusal or cancellation of gross payment status: HMRC action after losing an Appeal when the subcontractor currently holds net payment status.

| CISR48000 | Information contents | |—————————————————————————————————–|———————-|

Where an applicant has been successful with an appeal made against losing their gross payment status with immediate effect under Section 66(3) FA2004, or against the refusal to be given gross payment status in the first place, you must take the following action in CIS. This action will need to be taken where the applicant’s payment status has already reverted to net payment, or where they have previously been on net payment status only.

  • From [CIS Main Menu] select the relevant subcontractor registration
  • select ‘Change TT’
  • this will take you to the ‘Change Subcontractors Tax Treatment’ window and will show the current tax treatment at the top of this window
  • under the title bar called ‘Change Tax Treatment to Gross’ use the drop down menu alongside ‘Reason for Change’ to make the selection that matches the circumstances of the particular case. The available options are:
  1. Upheld appeal
  2. False registration information
  3. Auth - Processing manager
  4. Auth - Compliance manager
  5. Auth - Central Compliance
  6. Auth - Civil Investigation
  • select [Upheld appeal]. The next review date will be set automatically and will be 12 months from today’s date
  • select [Change to Gross].

This will then take you back to the CIS Main menu. CIS will then issue a CIS316 to each of the contractors who have had contracts with the subcontractor within the last two years, to advise them of the change of payment status of the subcontractor.