CIS tax questions

[deezyboy]

Hi all,

 

quick wiestion, completed a job and sent the invoice to the construction company, they have since sent back the remittance advice, and have deducted £1600 under the CIS tax.

 

how does this work?

 

i am not registered for it myself, and £1600 is a lot to underpay on a quote that was submitted and agreed on for a much higher figure. 

Is it possible to claim it back?

[Mark Bolam]

I can understand them saying that you need to give them a CIS number, but don't see how they can knock you for 20% without one? Where has the 20% gone? It can't have gone to HMRC without a CIS number.

Something stinks there.

[Jwoodgardenmaintenance]

When I first started on building sites I didn't have my utr number so was taxed at 30% and once I got my number and I done my taxes for the year I got the 10% extra back 

 

Jack

Edited March 29, 2019 by Jwoodgardenmaintenance
Me being a clout head with spelling

[deezyboy]

Ok I will get that sorted.

i still find it bizarre (I probably don’t understand enough) as to why they have taxed me? I pay my own taxes etc and haven’t signed up to the scheme.

 

it has taken all the profit out of the job and made it not worth it!

[Steve Bullman]

Just now, deezyboy said:

it has taken all the profit out of the job and made it not worth it!

Its not like you have lost the money, you will just end up getting a lesser tax bill at the end of the year

[Mark Bolam]

How can that happen Steve?

HMRC can’t have received the money if the construction company don’t have his CIS or UTR number.

[Steve Bullman]

2 minutes ago, Mark Bolam said:

How can that happen Steve?

HMRC can’t have received the money if the construction company don’t have his CIS or UTR number.

I missed that part ☺️

[Funky munkey]

i asked same question the other week was the tree work clearance for building work or site Clearance for building work if not its exempt also they they should issue you with a cis receipt .you should be able to claim a 3rd back

[ChunksBigBro]

They can take it from you if your not cis registered, they will take 30% if you arnt registered, they should give you a cis statement that you can use towards your tax bill.  Look at it as you have £1600 saved towards your tax bill. They can only take it on the labour element of your invoice though! So invoice labour, waste and " plant hire" seperatly as the waste and plant hire are cis exempt

[deezyboy]

Ok thanks for that.

 

i will re-invoice then as have a fair bit of hired in plant for the job. 

 

Cheers gentleman