Taxman revokes CIS6 cards of late-paying contractors

Contractors face having their CIS6 cards revoked under a "three strikes and you're out" policy over late payment of tax.

One contractor told CJ that its card was going to be revoked next month after it made some late payments to the Inland Revenue.

"This has come as a shock and makes you wonder how many other contractors are aware of the risks," a spokesman added.

An Inland Revenue spokesman told CJ that, under laws introduced last year, companies which make more than three late payments of more than 14 days would have their cards taken away.

However, he added that companies wouldn't be affected by minor or technical offences.

A Construction Confederation source said that the Inland Revenue was starting to "come down hard" on this issue.

"We get members telling us they are surprised at having cards revoked," he said. "However, they have to understand that this is employees' monies owed to the department. If a company folds, it could put those funds in question."