Frequently Asked Questions

What is CIS?

The Construction Industry Scheme (CIS) is a HMRC scheme for construction industry where contractors deduct money from a subcontractor’s payments and pass it to HM Revenue and Customs (HMRC).

The deductions count as advance payments towards the subcontractor’s tax and National Insurance.

If I work in Construction as employee, does CIS apply as well?

No. CIS only applies to self-employed individuals, who work in the Construction Industry.

When does 0% (gross), 20% net - 30% net rate apply?

0% (gross) tax rate will apply if the subcontractor passes three criteria:

you’ve paid your tax and National Insurance on time in the past
your business does construction work (or provides labour for it) in the UK
your business is run through a bank account
HMRC will look at your turnover for the last 12 months. Ignoring VAT and the cost of materials, your turnover must be at least:

£30,000 if you’re a sole trader
£30,000 for each partner in a partnership, or at least £200,000 for the whole partnership
£30,000 for each director of a company, or at least £200,000 for the whole company
20% net applies when business is registered with HMRC.
30% net applies when business is not registrered with HMRC.

How long Tax Refund will take?

Tax Refunds usually take 1-4 weeks. It is important to provide accurate details as any discrepancies with the information held on HMRC database may delay the recovery process.

How many years back can I claim my tax refund for?
The period for claiming a tax refund currently is 4 years. Tax refund is also possible for those no longer residing in the UK.

How can I get my tax refund?

Contact us. We can send you paper forms, which you will be required to fill out and return to us by post or email together with the scanned document copies.