§ Mr. Collins
To ask the Chancellor of the Exchequer what legislative changes affecting the tax status of self-employed building contractors(a) have been made since 1994 and (b) are planned for the future; when such changes will take effect; what penalties are provided for non-compliance; and if he will make a statement. 
§ Dawn Primarolo
[holding answer 11 July 1997]: Legislation contained in the 1995 Finance Act introduces new rules governing entitlement to subcontractors' tax certificates. Further legislation in the 1996 Finance Act provides for the introduction of registration cards for those subcontractors who will not qualify for certificates under the new rules. The Inland Revenue are continuing to discuss with industry representatives the legislation which will contain more detailed arrangements for the scheme. An announcement will be made shortly about the implementation of these changes. Penalties of up to £3,000 will be chargeable for certain offences under the scheme.