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    CIS TAX RETURN

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    Are you working under the CIS Scheme?

     

    Under the Construction Industry Scheme (CIS), contractors deduct money from a subcontractor’s payments and pass it to HM Revenue and Customs (HMRC).

     

    The deductions count as advance payments towards the subcontractor’s tax and National Insurance.

     

    Contractors must register for the scheme. Subcontractors don’t have to register, but deductions are taken from their payments at a higher rate if they’re not registered

     

    Work covered by CIS

     

    CIS covers most construction work to:

    • A permanent or temporary building or structure.
    • Civil engineering work like roads and bridges.

     

    For the purpose of CIS, construction work includes:

    • Preparing the site, eg laying foundations and providing access works.
    • Demolition and dismantling.
    • Building work.
    • Alterations, repairs and decorating.
    • Installing systems for heating, lighting, power, water and ventilation.
    • Cleaning the inside of buildings after construction work.

     

    Exceptions

     

    You don’t have to register if you only do certain jobs, including:

    • Architecture and surveying.
    • Scaffolding hire (with no labour).
    • Carpet fitting.
    • Making materials used in construction including plant and machinery.
    • Delivering materials.
    • Work on construction sites that’s clearly not construction, eg running a canteen or site facilities.

     

    If you are working under construction industry scheme (C.I.S) as a sub-contractor, we can help you to file your personal tax return. At the end of the tax year ( usually 5th April ), HM Revenue & Customs will send you a notice to file the tax return or if we are acting an accountant for you, we will send you a reminder to file your personal tax return.

     

    You will have to declare the income from all the resources in the tax returns.

    • The full amounts on your invoices as income.
    • Any deductions contractors have made in the ‘CIS deductions’ field.

     

    We will guide you on the relevant expenses that you can claim to minimise your tax liability. We will work out your tax and National Insurance bill and take off any deductions/expenses made by you.

     

    If you still owe tax after this, you’ll need to pay it by 31 January following the end of the tax year. If you’re due a tax refund, we will help you to get the refund from HM Revenue & Customs.

     

    If you are the main contractor who has to operate the CIS scheme, we can help you setting up the procedures, verify all your sub-contractors and report all the tax deductions you make on labour every month to HM Revenue and Customs. We will also produce a liability summary every month to advise you how much to pay.

     

    Simply click CONTACT and enter your details below then we’ll contact you to arrange a no-obligation Meeting.

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