CIS (Construction Industry Scheme)
If you are a contractor or subcontractor working within the Construction Industry you must comply with the special tax rules and methods for handling payments set out in the Construction Industry Scheme. Failure to do so can result in significant penalties from HMRC.
The Construction Industry Scheme (CIS) provides contractors with prescribed guidelines for the hiring and paying of subcontractors. At Robert Lewis, our team is highly experienced in dealing with CIS tax and the construction industry as a whole. We can provide the advice, guidance and ongoing support you require to ensure you remain in compliance.
Our services include;
Registering you as a contractor with HMRC.
Verifying that your subcontractors are registered with HMRC for the correct deduction.
Ensuring subcontractors are paid in compliance with the scheme.
Immediate notification of changes to CIS regulations and how this effects the contractors position.
Preparing and issuing deduction statements to subcontractors and preparing and supplying HMRC with monthly statements.
The Construction Industry Scheme obliges subcontractors to register with HMRC and immediately notify them of any changes to their business including their business address, business name and business partners.
If you are a subcontractor, each time you are hired by a contractor, they must decide whether you are self -employed or an employee.
A self-employed status will result in your registration as a subcontractor under CIS – slightly different to classification as self-employed under UK personal tax. HMRC will set you up to receive payments under deduction and contractors will deduct tax at 20 per cent from your invoices and pay this to HMRC.
At Arthur Cromwell & Foster, our CIS tax accountants will provide the advice and guidance you need to fully understand your status and comply with regulations.
Our services include;
Advising on your status as a subcontractor or employee and correctly registering you with HMRC; Verifying your status with HMRC on behalf of your contractor.
Taking care of business records.
Preparing self-assessment tax returns and calculating your tax liability and any refunds due.