Starting a new business? Get 40% off our accountancy services for 3 months! 😀

x

Contractors who operate under the Construction Industry Scheme have strict criteria to adhere to. This includes providing a monthly return to HM Revenue & Customs with details of all subcontractor payments made during that month.

For construction industry purposes, a month runs from the 6th of one month and ends on the 5th of the following month. The CIS monthly return is a CIS300 and should be completed even if you haven’t made any payments to subcontractors that month.

As a contractor, you will need to retain details of the gross amounts of subcontractor payments, excluding VAT. You will also need to keep details of any deductions made before paying a subcontractor. These records should be kept for a minimum of three years after the relevant tax year. It is possible to submit monthly CIS returns either electronically or using a paper CIS monthly return. Once a contractor has registered with HMRC, a contractor pack will be sent. A blank copy of CIS300 is included in the pack for completion, but HMRC will send out a new return towards the end of each month. Filing electronically requires software which is compatible with HMRC systems, or it is possible for large contractors to use Electronic Data Interchange.

It is essential to submit the monthly return in a timely manner each month to avoid large penalties. The CIS monthly return has to be received no later than 14 days after the end of each month. For instance, a return for the month which covers 6th June to 5th July should reach HMRC no later than the 19th July.

About The Author

Gary Fields

Content Writer working alongside our expert accountants to bring you the latest Tax and Accounting news.

More posts by this author
guest
0 Comments
Inline Feedbacks
View all comments

Read more posts...

Umbrella Companies for Self-Employed Contractors

When you set up in business as a contractor you might either work as a sole trader or as a limited company….

Read More

Get Ready for Small Business Saturday UK 2022

Small Business Saturday started in the US in 2010, on the first Saturday following Thanksgiving. It aims to encourage shoppers to consider…

Read More

Architects and Tax

Architecture is a highly diverse sector when it comes to tax. It’s partly down to the type of businesses that carry out…

Read More
Back to Blog...

Confirm Transactions

The number of monthly transactions you have entered based on your turnover seem high. A transaction is one bookkeeping entry such as a sale, purchase, payment or receipt. Are you sure this is correct?

Yes, submit my quote
No, let me change it

Please contact our sales team if you’re unsure

VAT Returns

It is unlikely you will need this service, unless you are voluntarily registered for VAT.

Are you sure this is correct?

Yes, the business is VAT registered
No, let me change it

Call us on 020 3355 4047 if you’re not sure.

Bookkeeping

You only need this service if you want us to complete the bookkeeping on your behalf.

Would you prefer to complete your own bookkeeping?

Yes
No

Call us on 020 3355 4047 if you’re not sure.