What to do under new CIS rules if a subcontractor is employed with a CIS card which is due to expire in 2007

Q: I have just taken on a new subcontractor with a CIS card which expires in September 2007 so what do I have to do under the new CIS rules which start before then?

A: From April 2007 there will be no more CIS cards, vouchers etc. so all CIS cards automatically come to an end on 5 April 2007. Revenue and Customs will be sending you a list of the subcontractors you have used in the past or who you are already using and if he's on that list then you just carry on using his services in the same way ie deducting 18% tax from the direct labour element of his invoices.