May 28, 2018

April 6, 2018

December 9, 2014

Please reload

Recent Posts

Case studies. How can we help you?

July 13, 2014

Please reload

Featured Posts

Construction Industry Scheme

June 16, 2014

We regularly have clients ask us to explain CIS to them, as it can be quite confusing if you haven’t had to comply with it before.  The Construction Industry Scheme (CIS) is a system for collecting tax from subcontractors in the building industry.  The scheme principally applies to mainstream construction work.  However, businesses or organisations whose core activity isn’t construction, but have a high annual spend on construction, may also count as contractors and fall under the scheme.


Does It Apply To Me?


You may have to comply to CIS if you are a subcontractor in the building industry or if you a contractor and hire subcontractors in the building industry.

If you are a subcontractor you will be “verified” by the contractor in order to see which CIS rate should be applied, there are three rates:


  • 0% is applied for subcontractors that have successfully applied for gross status

  • 20% is applied for subcontractors that have been successfully verified but are  not registered for gross status

  • 30% is applied for subcontractors that have not been successfully verified. This could be because the information supplied is not correct or subcontractor is not registered as self-employed.


The purpose of CIS is to ensure that tax evasion is minimised in the construction industry. The downside is there is a compliance burden for businesses.

Please reload

Please reload

Search By Tags
Please reload

    Contact us for a free consultation and no obligation quote

    Our aim is to provide excellent and proactive bookkeeping and accountancy services.  All fees are quoted and agreed in advance.

    About Us


    Bookkeeping Essex Limited offers proactive, professional and competitive bookkeeping and accountancy services for sole traders and small to medium sized businesses in Essex, London and throughout the UK.

    Contact Us


    Suite 57 Waterhouse Business Centre

    2 Cromar Way


    Essex  CM1 2QE


    T. 01245 392158


    © 2017 Bookkeeping Essex Limited

    Site by Brown Owl Creative

    Bookkeeping Essex