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CIS Specialists for Contractors & Subcontractors
Expert Construction Industry Scheme accounting. We handle CIS monthly returns, tax refund claims, subcontractor verification, gross payment status applications and full HMRC compliance for the construction sector.
ACCA regulated | Stoke-on-Trent based | 5.0 ★ Google Rating
What is the Construction Industry Scheme?
The Construction Industry Scheme (CIS) is a HMRC tax deduction system that applies to payments between contractors and subcontractors in the construction sector. Under CIS, contractors deduct money from subcontractor payments and pass it directly to HMRC as advance payment towards the subcontractor's tax and National Insurance.
For contractors, CIS means additional responsibilities: registering with HMRC, verifying subcontractors, making correct deductions, filing monthly returns, and keeping detailed records. Failure to comply can result in significant penalties.
For subcontractors, CIS deductions can significantly impact cash flow. The standard deduction rate is 20% for registered subcontractors, 30% for unregistered, and 0% for those with gross payment status. Many subcontractors overpay tax through CIS and are entitled to refunds.
Whether you are a contractor needing help with compliance or a subcontractor looking to claim back overpaid tax, our CIS specialists in Stoke-on-Trent can help.
Our CIS Services
Comprehensive CIS support for construction businesses of all sizes.
CIS Monthly Returns
Accurate monthly CIS return preparation and submission to HMRC. We ensure your returns are compliant and filed on time to avoid penalties.
Subcontractor Verification
We verify subcontractors with HMRC to confirm the correct deduction rate applies, protecting both you and your workforce.
CIS Tax Refund Claims
Many subcontractors overpay tax through CIS deductions. We identify and claim refunds you may be entitled to.
Gross Payment Status
Help eligible contractors apply for and maintain gross payment status, improving cash flow and reducing admin.
HMRC Compliance
Stay compliant with CIS regulations. We handle registrations, record keeping requirements and HMRC correspondence.
Contractor Payroll
Combined CIS and payroll services for contractors who employ both subcontractors and direct employees.
Free CIS Tax Calculator
Estimate your CIS deductions and potential tax refund with our free online calculator. Enter your income and expenses to see how much you could claim back.
Use Our Free CalculatorCase Study: CIS Refund Success: Stoke-on-Trent Subcontractor
The Situation
A self-employed subcontractor came to us after 2 years of having CIS deducted at the standard 20% rate. They had never filed a Self Assessment return to claim back overpaid tax.
Our Action
We reviewed their income and expenses, prepared two years of tax returns, and identified legitimate business expenses they hadn't claimed.
The Result
The client received a combined refund of over £4,200 from HMRC, plus ongoing annual savings through proper expense claims.
"I had no idea I was owed that much. K&R made the whole process simple."
CIS Frequently Asked Questions
What is the Construction Industry Scheme (CIS)?
CIS is a tax deduction scheme that applies to payments from contractors to subcontractors in the construction industry. Contractors must deduct money from subcontractor payments and pass it to HMRC. The deduction counts towards the subcontractor's tax and National Insurance.
Who needs to register for CIS?
If you work as a contractor or subcontractor in construction, you likely need to register. Contractors must register before taking on their first subcontractor. Subcontractors should register to potentially reduce the deduction rate from 30% to 20%, or achieve gross payment status.
How much CIS tax will be deducted from my payments?
The deduction rate depends on your registration status: 30% if unregistered, 20% if registered, or 0% with gross payment status. Use our free CIS calculator to estimate your deductions and potential refunds.
Can I claim back CIS deductions?
Yes. If your CIS deductions exceed your actual tax liability, you can claim a refund through your Self Assessment tax return (sole traders) or Corporation Tax return (limited companies). We help clients claim thousands in overpaid CIS each year.
What construction work is covered by CIS?
CIS covers most construction operations including building, repairs, decorating, demolition, civil engineering, and installing systems like heating, lighting and ventilation. Some work like architecture, surveying and carpet fitting are excluded.
When are CIS returns due?
Monthly CIS returns must be submitted by the 19th of each month for the previous tax month (6th to 5th). Late submissions incur automatic penalties starting at £100.
What records do I need to keep for CIS?
Contractors must keep records of all payments to subcontractors, verification details, and deductions made. Subcontractors should keep payment and deduction statements. We recommend keeping records for at least 6 years.
How do I get gross payment status?
To qualify for gross payment status, you must meet turnover, compliance and business tests. This includes a minimum turnover threshold and a clean compliance history with HMRC. We can assess your eligibility and handle the application.
Who We Help with CIS
Our CIS specialists work with contractors and subcontractors across the construction sector. Whether you're a sole trader, partnership or limited company, we provide expert CIS support throughout the UK using cloud-based systems for seamless collaboration.
Construction Trades:
Builders, plumbers, electricians, roofers, decorators, civil engineering, demolition, groundworks, scaffolding, plastering
Business Types:
Main contractors, subcontractors, labour-only subbies, construction companies, self-employed tradespeople
Need CIS Help? Get a Free Review
Whether you need help with monthly CIS returns, want to check if you are owed a refund, or just have questions about how CIS affects your business, we are here to help.