What is the Scheme?
It is a special set of tax rules requiring contractors to deduct tax from a subcontractor’s payments before paying them. The tax must then be reported and paid over to HMRC on a monthly basis.
What are your obligations and how can we help?
Contractors must register for the scheme and submit monthly CIS returns to HMRC. You must also provide your subcontractors with deduction statements for each month that you pay them.
HMRC will charge penalties for unsubmitted or late returns and so it is important to keep up to date with your CIS obligations.
AtPlummer Parsons, we can assist you with the whole process:
- Registration with HMRC and verification of your subcontractors
- Preparation & submission of monthly returns
- Preparation of deduction statements for your subcontractors
- Keeping your books & records up to date and generally advising you in CIS matters.
As a subcontractor you do not have to register with HMRC, though you may have tax deducted at a higher rate if you are not registered.
You may be able to apply for gross payment status, meaning contractors will pay you in full without deducting tax at source.
Our team here at Plummer Parsons can assist you with:
- Registration with HMRC
- Advising if you may qualify for gross payment status
- Preparation & submission of CIS repayment claims to HMRC at the end of the tax year
- Keeping your books & records up to date and generally advising you in CIS matters
If you’re a busy contractor or subcontractor, let us take care of the admin and paperwork, while you focus on your business.
Contact us today to discuss any CIS matter.