Tax, CIS and Making Tax Digital for self-employed plant operators

Tax, CIS and Making Tax Digital for self-employed plant operators Plant operators are usually paid for a machine and a driver together, and the driver is what brings CIS in: plant hired with an operator is covered, but the same machine hired out on its own is not. Fuel the machine uses on site can come off before the deduction, even on a machine you own. Making Tax Digital counts operated and dry hire alike, before any deduction. HMRC treats using plant as an integral part of construction, so a payment for a machine hired with an operator is covered, and so is supplying your own labour to drive a contractor’s machine. Hiring a machine out with no operator is outside CIS, and so are delivering, repairing or servicing plant on their own. Excavator, dumper or roller you buy: business equipment. Hire purchase or finance on a machine: the interest is a finance cost. No. Hire without an operator is outside CIS, so you are paid in full. It is still business income for your tax return and counts towards Making Tax Digital. Read the full guide for plant operators, with every source, at rightotax.co.uk.