Construction Industry Scheme
Construction Industry Scheme (CIS), which is run by HM Revenue & Customs stipulates the rules regarding payments for all businesses and organizations constantly or temporarily operating in the construction industry. Construction Industry Scheme applies only to the self-employed, partnerships, limited companies and organizations. It does not apply to employees.
If your business is involved in construction work, you probably have to register with the CIS either as a contractor or subcontractor or a contractor and subcontractor at the same time.
If you are in a construction business or if you are involved in a construction work in any other way, you should immediately:
- Check if you are a contractor or a subcontractor under the Construction Industry Scheme
- Register with HM Revenue and Customs for the the Construction Industry Scheme
- Check whether your subcontractors are registered with HMRC for the CIS
- Make deductions from subcontractors’ payments and transfer it to HMRC
- Pay subcontractors and issue statements for them
- Prepare and send CIS returns to HMRC
- Keep CIS records
Best Formations Limited will be delighted to assist with the Construction Industry Scheme.