Many small businesses, especially sole traders, work as subcontractors in the UK’s Construction Industry. It is necessary for them to register with HMRC.
It’s necessary to register with the Construction Industry Scheme (CIS) for any business that plans to use the skills of these subcontractors.
Individuals or companies that to use CIS-registered subcontractors must account for their tax. Normally this is held in the business’s accounts and then posted to a holding account which provides details on the subcontractor.
The amount is then paid to HMRC in the following month. The deductions are counted towards the subcontractor’s pay and also contribute to tax purposes.
We have a full working knowledge of the CIS scheme and can offer CIS clients a full, efficient and prompt accountancy service for very reasonable fees.