If you work in the UK construction industry as a subcontractor, you’re probably familiar with the Construction Industry Scheme (CIS). But do you know how to register, reduce deductions, and claim refunds? This guide covers everything you need to know — and how Audit Consulting Group can help you get the maximum refund.
Learn how to navigate the CIS registration process to reduce deductions and claim refunds with Audit Consulting Group’s assistance.
What is the CIS?
The CIS is a scheme set up by HMRC requiring contractors to deduct money from a subcontractor’s pay and send it directly to HMRC as advance tax.
Who Must Register?
- Subcontractors: Register to reduce deductions from 30% to 20%
- Contractors: Must register before hiring subcontractors
CIS Deduction Rates
- Registered subcontractors: 20%
- Unregistered: 30%
How to Register for CIS
- Go to HMRC’s website and register as self-employed
- Apply for CIS registration using your UTR
- Receive confirmation and start working under reduced deduction rate
How to Claim a CIS Refund
At the end of the tax year:
- Submit your self-assessment return
- Declare CIS deductions already paid
- HMRC will calculate your refund (often hundreds or thousands of pounds!)
Mistakes to Avoid
- Not keeping accurate records
- Missing self-assessment deadlines
- Forgetting to claim deductions
Why Subcontractors Lose Money
- They don’t file on time
- They don’t claim eligible expenses
- They pay higher deduction rates due to not registering
How Audit Consulting Group Maximises Your Refund
- We ensure every deduction and expense is accounted for
- We file your return accurately and on time
- We deal with HMRC for you
Additional Services We Offer:
- CIS registration support
- Appeals and penalty handling
- Ongoing tax planning for construction workers
For personal advice or to book a consultation, contact Audit Consulting Group today. We provide reliable, affordable, and expert accounting solutions in the UK and USA.