CIS deductions

[john meehan]

I was wondering if anyone could give me any advice? I'm a subbie but I do 4 days a week for the same firm.

 

I got in this morning and was told they are starting to take cis deductions out of my wage.

 

I really could do with out this and would prefer to sort out my own tax etc rather than lose a chunk of what I am payed each week. My missus is out of work at the minute so things are pretty tight as it is.

 

Is there anyway round this or do I just have to suck it up and manage?

 

Thanks guys

[dumper]

Why are they taking cis this is a construction industry scheme are you in construction site clearance would be

[Ian Leach]

You can apply for gross payment status when you register for CIS. This means the contractor won’t make deductions from your payments and you’ll pay all your tax and National Insurance at the end of the tax year.

[kevinjohnsonmbe]

I was wondering if anyone could give me any advice? I'm a subbie but I do 4 days a week for the same firm.

 

I got in this morning and was told they are starting to take cis deductions out of my wage.

 

I really could do with out this and would prefer to sort out my own tax etc rather than lose a chunk of what I am payed each week. My missus is out of work at the minute so things are pretty tight as it is.

 

Is there anyway round this or do I just have to suck it up and manage?

 

Thanks guys

 

4 days a week (every week?) for the same firm - self employed? Questionable.

 

How long has that been the case?

 

As mentioned, if all the work is site clearance for construction, then CIS deductions are probably appropriate but what happens if it's not all site clearance - probably not appropriate.

 

Sounds like the firm are taking advantage (possibly even stretchy the bounds) of the regs, but also sounds like you could do without losing the regular income from them.

[donnk]

You can apply for gross payment status when you register for CIS. This means the contractor won’t make deductions from your payments and you’ll pay all your tax and National Insurance at the end of the tax year.

 

it's the law.

 

Any subby being paid labour has to have CIS deducted at either 30% (not registered) 20% registered or gross (registered).

 

To be gross you have to show the tax man at least high 4 figures in the bank account and if he has any doubts about you 5 figures.

 

20% is a lot less than PAYE slaves are paying be grateful!

[john meehan]

Why are they taking cis this is a construction industry scheme are you in construction site clearance would be

 

 

No idea. We do very little work for construction companies

[john meehan]

4 days a week (every week?) for the same firm - self employed? Questionable.

 

 

 

How long has that been the case?

 

 

 

As mentioned, if all the work is site clearance for construction, then CIS deductions are probably appropriate but what happens if it's not all site clearance - probably not appropriate.

 

 

 

Sounds like the firm are taking advantage (possibly even stretchy the bounds) of the regs, but also sounds like you could do without losing the regular income from them.

 

 

Been doing that since February last year now so just coming up on 18 months. We don't really do site work at all it's mainly domestic with a few council jobs thrown in.

 

It's a tricky one because I could do with out losing it but by losing the cis bit we would seriously struggling anyway.

 

Cheers mate

[Johny Walker]

Been doing that since February last year now so just coming up on 18 months. We don't really do site work at all it's mainly domestic with a few council jobs thrown in.

 

It's a tricky one because I could do with out losing it but by losing the cis bit we would seriously struggling anyway.

 

Cheers mate

 

 

 

 

Your account should be claiming some of it bk for u.

[skyhuck]

Sounds to me like the firm your working for know full well they are sailing close to the wind and are looking to reduce any tax liability should they be investigated by the TAX man and found wanting.

[john meehan]

I was thinking that I'm waiting for him to get back to me at the minute. Hopefully he can shed some light on the situation. Thanks