The Construction Industry Scheme (CIS) sets out the special tax rules for subcontractors and contractors who work in the construction industry and how payments must be handled.
You are a contractor under CIS if you engage subcontractors to perform any form of construction activity. As a contractor, you are required to register with HMRC, verify if your subcontractors are registered with HMRC, pay subcontractors after deducting tax and submitting monthly statements confirming these payments.
You are a subcontractor under CIS if you work for a contractor. As a subcontractor, you are required to register with HMRC for CIS. You can act as self-employed subcontractor or via a limited company. Chart Accountancy can advise you choosing the most appropriate business structure for you.
At Chart Accountancy we can assist in the following arears:
Register you with HMRC as a contractor
Verify subcontractors with HMRC
Ensure correct tax is deducted from payments to subcontractors
Prepare and submit CIS returns for contractors
Reclaim CIS deductions via company payroll for subcontractors
Personal Tax Returns for the self-employed subcontractors
CIS record keeping and issue of subcontractor statements
Chart Accountancy can help you to stay compliant with the CIS rules.