CONSTRUCTION INDUSTRY SCHEME TAX
Builders are notorious for being disorganised with paperwork – at least, that’s our experience, anyway! (Sorry guys but it’s true!) That’s one reason why HMRC wants tax deducted on a monthly basis from contractors and sub-contractors in the building industry. This can be a headache for many small businesses. It also attracts significant fines from HMRC if not submitted on a monthly basis. The penalties are £100 per period per month.
One client of ours who simply wouldn’t provide the information for us to do the calculations ended up with a £10,000 fine – 72 letters on his doorstep on a Saturday morning! We managed to get the fine reduced to zero due to technicalities but why have the stress at all?
What do you need to do? Simply provide the list of contractors CIS statements (if applicable), the list of subcontractors – along with their UTR, NI number and their invoices and let us do the rest.
What we do – make the necessary calculations, line it up with your payroll (if you are a limited company) and submit it on time to HMRC.
Get your tax refund early!
For those of you who are self employed with regular CIS deductions made against your sales, we offer to prepare your accounts and tax returns early in the year (April onwards), as you usually will get a tax refund. You shouldn’t have to wait till the end of the year to receive it. Bring your information in as early as possible and we will do the rest.