“CIS tax return” is an informal term often used to describe the Self Assessment tax return completed by a self-employed subcontractor working under the Construction Industry Scheme (CIS).
It is different from the monthly CIS returns submitted by contractors.
Contractors use monthly CIS returns to tell HMRC:
● which subcontractors they have paid
● the gross amounts paid
● how much CIS tax they deducted
● whether any payments were made without deductions
As a subcontractor, you do not normally submit those monthly contractor returns.
Your own responsibility is to report your self-employment income, allowable business expenses and CIS deductions through Self Assessment.
Once Making Tax Digital for Income Tax applies toyou, this reporting process includes:
1. keeping digital records
2. sending quarterly updates
3. completing your year-end tax return through MTD-compliant software, like MTD 4 Subbies
Your CIS deductions are then offset against the Income Tax and National Insurance you owe.
We're building a simpler way for UK CIS subcontractors to track income, expenses and stay ready for Making Tax Digital.
Register your interest today and we'll let you know as soon as launch dates and early access become available.
