The CIS payroll establishes the rule that contractors must follow when they hire and pay subcontractors for their work.
The CIS scheme was established by Her Majesty's Revenue and Customs (HMRC), and only those working in the United Kingdom must abide by its rules and regulations.
Most contractors are required to register with HMRC. It is then their responsibility to deducted a specific about of money from the payroll of their subcontracted employees. This money is then sent directly to HMRC, and it is treated as an "advanced" payment on the subcontractor's taxes and National Insurance payments that are required under the law. These requirements were created to ensure that subcontractors pay their required taxes and also to make it easier on them. Instead of being required to pay a large one-time payment, the payments are taken out gradually and deducted from their paychecks each time they are paid.
What you’ll need to get started
Complete record of all you work expenses
This will include information about the sites where you have worked, all miles that you have traveled for work, and all equipment or tools that you have had to buy to complete a job.
HMRC personal tax account
This account streamlines the filling for your CIS rebate. It is free to create and use and helps keep all of your important documents and forms in one convenient location. If you have not already set up your tax account, don't worry. We will be happy to create one for you.
Your CIS statements
These documents are sometimes referred to as pay vouchers or wage slips. They are statements that you receive from your employer that will detail your hours, wages, and exactly how much money has been taken for taxes.
Items you can claim
You can trust that the Fish 4 Money CIS rebate experts will work directly with you to find any expenses that can be used to help you qualify for the largest refund possible!
- Food expenses that you’ve paid for while you were on the job
- Hotel accommodations expenses you’ve paid for when staying away from home for a job
- Liability insurance costs that you pay to any professional body when they are necessary for your work
- Expenses for work travel including tolls and parking fees
- Home office related expenses such including supplies, phone usage, postage, etc
- Costs for purchasing, and the upkeep of tools that are necessary for your work
What is CIS payroll?
CIS payroll rules and regulations typically only apply to companies that perform construction services as their primary business. However, if any type of business or enterprise were to hire subcontractors to perform work, they may be required to also abide by the CIS payroll guidelines. The general rule is this: if any business hires subcontractors to do construction type work that totals 1 million annually for three consecutive years (3 million or more in total) then they will be required to adhere to and register with the HMRC as well as make deductions for the CIS payroll. Such rules will only apply to businesses that pay for large scale construction projects. It will not apply to the typical business who hires a subcontractor(s) who completes the job in less than three years, or when the total amount that is paid is less than 1 million annually. As a subcontractor, it is important to be aware of who is responsible for deducting CIS payroll so that you are always in compliance with the rules.
If you have any questions about CIS payroll or would like to begin processing your CIS rebate, click here!
We’re sure you’ve got some questions
Are your services expensive?
No! We have some of the lowest and most competitive fees.
How do I know if Fish 4 Money can help me?
If you work within the UK construction industry as a general contractor, you are likely entitled to a CIS rebate. If you are uncertain if you are eligible, we will be happy to find the answer for you without any cost or obligation to you.
I’m not registered for the CIS. What do I do?
You have a few options. The easiest option would be to work with us, and we will register for you. Or you can call the CIS helpline at 0845 366 7899 or register on the HMRC website.
Is it true that you don’t collect a fee unless I get a rebate?
Absolutely. We only receive a fee if you get a rebate for you. Our service is risk and stress-free!
Is my personal information safe with you?
Yes. We make every possible effort to safeguard your information, and we never sell or share client information with a third party.
What do you consider to be a complete record of my work expenses?
A complete record would include information about the sites you have worked, all the millage you have travelled for work, and all the equipment or tools you have bought or repaired to do your work.
What expenses can I use to offset my tax payment and get a larger rebate?
You can use various work-related expenses, including meals, hotel accommodations, tolls, and parking fees, tools and tool repairs, liability insurance costs, and much more. Fish 4 Money will help you determine every expense that can be used to increase your rebate.
What information will you need from me to file my CIS rebate?
To begin the filing process, we will need the following:
(1) a complete record of all your work expenses, (2) your HMRC personal tax account information, and (3) your CIS statements.
What is a CIS statement?
You might hear these called wage slips or pay vouchers. You receive them from your employer, and they include information about your hours, wages, and how much money was taken for taxes.
What is the CIS?
CIS is an abbreviation for the Construction Industry Scheme. It is a unique tax scheme that applies only to the construction industry, and it impacts all most all construction work that occurs within the UK. There are certain exceptions, but for general contractors, the CIS is mostly compulsory.
When must HMRC receive my tax return?
HMRC must receive your completed tax return on or before the 31st of January for the previous tax year.
Which subcontractors does Fish 4 Money work with?
We help all subcontractors complete their CIS tax returns, including builders, carpenters, electricians, painters, plumbers, construction workers, masons, and many others. If you are a subcontractor, we can help you maximi
se your return.