HMRC Consultation outcome: Extension of security deposit legislation
Released 6 July 2018
HMRC have published responses to the consultation on implementing the extension of securities deposit legislation to include corporation tax and Construction Industry Scheme (CIS) deductions.
The consultation document Extension of existing security deposit legislation to include CT and CIS deductions was published on 13 March 2018. The consultation set out how the existing security regime operates and the circumstances, where there is a serious risk to the revenue, in which HMRC may seek a security. It proposed extending the existing security deposit legislation to include corporation tax (CT) and CIS deductions from April 2019 and sought views on the most effective way of introducing this change. The Government has published draft primary legislation for consultation. HMRC will continue to engage with interested parties, and the comments received will inform the development of regulations and operational guidance, which will be published later in the year.