What is CIS?
The Construction Industry Scheme (CIS) is a tax payment method available to construction contractors and subcontractors. Under the scheme, the contractors will take a deduction from the subcontractor’s pay and pass it directly onto HMRC. This deduction is effectively considered to be an advance payment of tax and National Insurance of the subcontractor.
However, the deduction taken from the subcontractor’s pay does not factor in personal allowance, which everyone is entitled to in the UK. This will mean that the subcontractor has overpaid on their tax liability and is entitled to a refund.
Do I qualify for a CIS refund?
You’ll qualify for a CIS refund if you are a subcontractor that supplies construction work to buildings. This work can include site preparation, labouring, decorating and refurbishment, but excludes tasks such as architecture, surveyancing services, hiring of scaffolding without labour, carpet fitting, delivery of materials and other non-construction type services.
How do I claim for a CIS refund?
You can claim for your refund online.
Alternatively, we can help claim on your behalf within 48 hours of receiving all necessary information to process. You can receive your cash within 5 working days from submission if you choose to receive payment direct to your bank account, or up to five weeks if you choose to receive payment by cheque.
To process your claim as fast as possible, we'll ask you to provide:
- A list of all the sites you have worked on in the year, and ideally the dates you worked there. This can go back over the past four years if you need to claim for previous years.
- Your CIS statements which are the monthly statements you receive from the contractors. They'll show you how much you earned and the amount of tax that has been deducted from your pay.
- Supporting documents such as a copy of your photo ID, proof of address, receipts for travel or any other additional documents which will help maximise the amount you'll receive in your CIS refund.