Construction industry scheme (CIS)
The construction industry scheme (CIS) is designed to reduce income tax and national insurance fraud for most suppliers of building and construction services.
If you are a contractor, you must register for CIS. Subcontractors do not have to register for CIS but it is advisable.
Tip:
Make sure you register as a subcontractor. If you are a subcontractor and you do not register for CIS, deductions will be taken from payments to you at a higher rate.
We can assist you in registering for CIS with HMRC and can give you advice and guidance on the submission, filing and payments of CIS.
Alternatively, we can process your CIS on your behalf. We can ensure that all your records are in line with CIS guidelines, as well as filing the monthly returns to HMRC. We can then advise you of any payments that are required. Similarly, you may also be in a position where you have suffered CIS and the tax is due back to you. In that instance, we can process the paperwork to offset this against your self-assessment or corporation tax liabilities.
Tip:
It is likely that if you are registered for CIS that you will also need to adhere to the new domestic reverse charge VAT procedure. This came into force on 1 March 2021.
Need help with CIS?
We would be delighted to advise and assist you with your CIS, so please do contact us.