Introduction to this document

Flow chart - VAT Construction Industry Scheme reverse charge

The VAT Construction Industry Scheme reverse charge applies to building and construction services supplied from 1 March 2021. Thereafter, customers covered by the scheme must account for the VAT using a reverse charge entry on their VAT return. This means suppliers will neither charge VAT nor collect it from the customer.

Flow chart

The Flow Chart - VAT Construction Industry Scheme Reverse Charge will help you decide whether you or your customer is responsible for charging and accounting for VAT on a supply of building or construction services.

Definitions for the flow chart:

  • Normal VAT rules - the supplier of the services must account for VAT and follow the VAT regulations as they would for any other type of supply or goods or services.


You may find our VAT Invoice Checklist and our short guide helpful when considering the Construction Industry Scheme reverse charge.