CIS

CIS

If you are a contractor, you must register for CIS with HMRC and submit CIS monthly returns if you pay your subcontractors to do construction work.

The CIS covers the following types of work:

• Alterations
• Building work
• Decorating
• Demolition or dismantling
• Installation of heating, lighting, power, water and ventilation
• Repairs
• Site preparation

CIS requires contractors to withhold 20 or 30 percent of any payment due to a subcontractor and pay the deduction to HMRC via the CIS monthly return. You are also required to make and provide subcontractor wage slips showing the gross payments and deductions.