End users must provide a declaration to their suppliers which permits the charging of VAT, without this declaration the reverse charge applies. The new rules do not affect supplies to non-VAT registered customers or zero rated contracts such as building new dwellings. Businesses must consider: l reviewing customers, suppliers and contracts to determine their place in the supply chain and the appropriate VAT treatment; l assess which sub-contractors may be affected from a cash-flow perspective (many use VAT charged to fund working capital) and determine if payment processes should be amended to prevent sub-contractors struggling; l ensure supplies subject to the reverse charge are invoiced correctly, with the correct narrative; l update VAT codes to correctly account for the reverse charge and to feed information into the correct VAT return Box(es); l a sub-contractor using the flat rate scheme may need to leave the scheme if they are entitled to VAT refunds.