Construction Industry Scheme – contractors and subcontractors

The Construction Industry Scheme applies to businesses involved in the construction industry. That includes builders, property developers, tradesmen, agencies supplying workers and so on. It can also apply to any business that spends an average of £1 million or more per year over three years on construction work.

If you use subcontractors or spend large amounts on construction work, you count as a contractor under the Construction Industry Scheme.

The Construction Industry Scheme treats you as a subcontractor if you work for a contractor, for example, as a self-employed tradesman or a smaller construction company with your own employees. The Construction Industry Scheme doesn’t apply to employees who are directly employed by the contractor.

You can be both a contractor and a subcontractor under the Construction Industry Scheme, for example, if your company works for a larger contractor and also subcontracts work out to self-employed tradesmen. Larger contractors can register as a ‘multiple contractor’. This allows the business to divide itself into smaller ‘divisions’ for the purposes of CIS. Each division then operates as though it is a contractor in its own right.

The Amity CIS Service

Our affordable CIS contractors & sub-contractors service will help save you time, money, and considerable effort by:

For Contractors

  • Preparing CIS Vouchers for Sub contractors
  • Completing Contractor returns each month & end of year
  • Preparing Payroll for permanent employees
  • Filing RTI with HMRC

For Sub Contractors

  • Advise you on ways to reduce your tax payment or increase tax refund
  • Complete Self-Assessment return correctly and on time
  • Making sure you have accurate deduction statements from your contractor
  • Helping you to claim back the maximum possible amount of deductions.

Our accountants have lot of experience of working with sub-contractors and understand the complexities of the CIS, so you can leave all of your tax administration in our professional hands.

To find out how we can help you navigate the CIS Scheme, contact us now!

Back to Top