CIS and construction tax, on both sides of the contract.
Practical support for subcontractors and specialist trades, and for contractors managing employees, subcontractors and substantial projects.
Construction experience
Our construction clients work across a range of trades and business sizes, including:
Builders and general contractors
Main contractors, building companies and subcontracting businesses.
Demolition companies
Accounting, payroll, subcontractor payments and relevant CIS and VAT obligations.
Renovation and refurbishment businesses
Records covering labour, materials, subcontractors and project payments.
Plumbing, heating and ventilation businesses
Accounts and tax support for specialist installation and trade services.
Renewable energy and solar installers
Accounting and tax treatment of installation, supply and related contractual arrangements.
Property developers and other specialist trades
Support reflecting the actual work, contract structure and reporting obligations.
Weekly payment cycles, customer delays, retentions and changing subcontractor teams can put pressure on construction finances. Our work includes:
- CIS advice, registration, verification and monthly returns.
- Reconciling deductions using statements and available HMRC records.
- Weekly and monthly payroll.
- VAT and domestic reverse charge treatment.
- Reviewing subcontractor invoices and preparing deduction statements.
- Accounting for retentions, materials, labour and customer balances.
- Resolving historic discrepancies and supporting repayment claims.
- Company accounts, Corporation Tax and relevant personal returns.
Different trades and contract arrangements
The correct treatment depends on the work and contract, not just the trade description. Building, demolition, refurbishment and specialist installation businesses can have different combinations of labour, materials, equipment supply and subcontracting. For solar and renewable energy businesses, design services and commission arrangements may also need separate consideration. We review the actual work, customer and contract, including mixed contracts, and consider CIS and VAT separately.
Gross Payment Status
Gross Payment Status allows qualifying subcontractors to receive payments without CIS deductions. HMRC applies business, turnover and compliance tests. It changes how tax is collected; it does not remove the underlying tax liability.
Frequently asked questions
What is CIS?
The Construction Industry Scheme governs certain payments for construction work. Contractors deduct tax at the rate confirmed by HMRC unless the subcontractor qualifies for payment without deduction. The deductions are credited against the subcontractor’s relevant tax liabilities.
Do I need to register?
Contractors within CIS must register before paying subcontractors. Subcontractors can register to avoid the higher deduction rate that normally applies when HMRC cannot verify them as registered. The correct treatment depends on your work and role in the contract.
Does CIS apply to solar panel installation?
Installation of electricity-generating solar panels is generally a construction operation for CIS. Whether a payment falls within the scheme also depends on who is paying and the contractual arrangements. Work paid for directly by a private householder is generally outside CIS. Equipment-only supply and standalone professional services can be treated differently, but mixed contracts need careful review.