Are you fed up of time consuming paperwork, tax returns and excessive accountancy fees and want to achieve optimum tax saving?
Well, that’s what we do on a daily basis for all of our clients including hundreds of contractors like you. We have specialist professional accountants dedicated solely to deal with contractors.
HMRC has introduced contractors industry scheme (CIS) specifically for contractors and subcontractors to broaden tax base and collect taxes from contractors such as plumbers, bricklayers, roofers, electricians and so on.
How it works
1- Contractor or subcontractor does the job for Construction Company and raises invoice.
2- The construction company than pays the contractors after deducting 20% tax of the face value of invoice which the construction company than pays to HMRC.
3- The contractors note this tax amount and claim the money back from HMRC through annual tax return.
4- If you as a contractor are not registered under CIS scheme than according to HMRC’s instructions, construction companies are obliged to deduct 30% in tax instead of 20% that means you lose more money in tax which you probably won’t be able to claim back without professional help. (See link 2)
What we can do for you.
1- We setup your limited company and enrol your company for CIS scheme.
2- We will submit your company’s final employer’s payment (EPS) summary and all associated full payment Submission (FPS) as per HMRC requirements and claim repayment on your behalf.
3- If you are sub-contractors who further sub contracts work down the chain to another sub-contractor we can set you up for CIS scheme so your business can deduct tax from your subcontractor’s invoices as required by HMRC.
4- HMRC advises to make sure your PAYE submissions are correct and complete before you claim tax back. We are authorised agents by HMRC to act on your behalf and we will always stay on top of your PAYE submissions.
5- you can also sign up for CIS scheme as sole trader or partnership depending on your turnover and number of employees however registration through a limited company is recommended as it brings considerable tax advantages and protects your personal assets from your business debt and liabilities.
6- we will sign you up for cloud accounting software which will revolutionise your business by bringing automation in recording your sales, purchases and expenses as well as giving you 24/7 online access to monitor your business remotely. For more details see our cloud accounting section.
Our fees are fixed and start from only £40 per month depending on your choice of business structure (LTD. Sole trader or partnership), turnover and number of employees.