VAT Reverse Charge in Construction - Rules, Risks & Practical Application

Introduction

The domestic reverse charge (DRC) for construction services continues to create uncertainty for many businesses, despite being introduced in 2021. The rules require businesses to correctly identify when the reverse charge applies, understand the interaction with the Construction Industry Scheme (CIS) and ensure VAT is accounted for correctly.

This new virtual classroom seminar will provide an update on the key domestic reverse charge rules, focusing on the areas that continue to cause challenges in practice, including scope, end users, invoicing requirements, compliance obligations and common errors.

Using practical examples and real-life scenarios, this session will help delegates apply the rules confidently, identify potential issues and ensure their VAT and CIS processes are operating effectively.

It is ideal for anyone working in industry or practice with responsibility for CIS, VAT invoicing and VAT accounting. It will also be valuable for non-accounting professionals involved in construction processes, including quantity surveyors and operational teams.

What You Will Learn

This live and interactive session will cover the following:

• Domestic Reverse Charge: Key Principles and Application
• Recap of the domestic reverse charge rules and how they operate in practice
• The scope of construction services covered by the reverse charge
• The interaction between the domestic reverse charge and CIS
• Key construction concepts and identifying relevant supplies
• Understanding when the reverse charge applies and when it does not
• Practical Issues and Compliance
• Identifying end users and intermediary suppliers
• Time of supply rules
• VAT invoicing requirements and authenticated receipts
• Completing VAT returns correctly under the reverse charge
• Documentation, record-keeping and compliance checks
• Common Errors and Practical Application
• Common mistakes businesses make when applying the reverse charge
• Avoiding incorrect VAT treatment and invoicing errors
• Applying the rules to real construction sector scenarios
• Reviewing VAT processes to reduce compliance risks

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.