MY VIP TAX TEAM QUESTION OF THE WEEK: CONTRACTORS FAILURE TO DEDUCT CIS FROM PAYMENTS MADE TO A SUBCONTRACTOR

My client has had a computation from HMRC for the CIS (Construction Industry Scheme) deductions they failed to deduct from payments made to a subcontractor for the current and last 6 tax years.


What about the tax paid by the subcontractor on this income via Self Assessment/Corporation Tax? Can this be taken into account?