Rates of Deduction

There are three rates of deduction.

• Standard rate (Payment under deduction) - 20%
• Higher rate (Unmatched rate) - 30%
• Gross (Payment without deduction) - 0%

The Tax Treatment shown is provided by HMRC and HMRC may contact you on occasions to re-verify the subcontractor online to ensure your online records are up to date.

Where no Tax Treatment is shown or you are not sure what the Tax Treatment should be please re-verify online so HMRC can provide you with the correct Tax Treatment.