CIS stands for the Construction Industry Scheme. It’s a special tax scheme just for the construction industry. It affects most construction work done in the UK, from site preparation to repairs, decoration and demolition.
There are some exceptions, but for most general contractors, the scheme is compulsory.
Under the scheme, the company you work for (a contractor) will deduct money from your (subcontractor) pay to cover your tax and National Insurance contributions.
If you are newly self-employed and intend on working in the construction industry, it is advisable to register as a CIS subcontractor immediately.
While registration is voluntary, failure to do so will result in a higher “emergency” tax rate of 30% being deducted from all payments made to you.
Registration is quick and easy. The contact details for HMRC are below.
Registered in England & Wales | Company Number 11373381 | ICO Registration Number A8255161 | HMRC AMLS XRML00000190406