HC Deb 02 November 1999 vol 337 c172W
Miss McIntosh

To ask the Chancellor of the Exchequer what assessment he has made of the impact of the tax changes which relate to the status of self-employed workers in the construction industry; and if he will make a statement. [96316]

Dawn Primarolo

The tax changes brought in by the new Construction Industry Scheme do not affect whether a person is employed or self-employed within the industry. Both the old and the new scheme work in a broadly similar way. Where a contractor makes payments relating to construction operations to a self-employed worker, they must operate the scheme. This means that they must make deductions on account of tax and NICs when making payments to subcontractors who do not qualify under the rules to be paid gross. The changes to the scheme are to control tax evasion.