E-mail us via our contact form on the right with your name & address stating whether you require a CIS or Standard Self Assessment pack & we will post you one out. CIS Tax returns £150 & Standard Self Assessment Returns from £115
Give us a call on 0113 418 2058
Text: Your name & address followed by CIS PACK or SATPACK to 07794734711 & we will send you a pack.
CIS SUBCONTRACTOR REGISTRATION
If you are not already registered as a CIS subcontractor you can do so by contacting the HMRC CIS helpline on 0845 366 7899, you will find them friendly and helpful. Opening times:-
8:00 am to 8:00 pm Monday to Friday
8:00 am to 4:00 pm Saturday
Closed Sundays, Christmas Day, Boxing Day and New Year's Day
If you work as a subcontractor before you receive your UTR number you will have tax deducted at 30%, once you are in receipt of your UTR number please ensure you give it to any contractor you work for and your tax will be deducted at 20%. Any tax you have paid at the higher rate will form part of your tax refund claim at the end of the tax year.
CLASS 2 NIC
If you are a CIS subcontractor or otherwise self employed you will be required to pay Class 2 National Insurance Contributions in 2018-19 of £2.95 per week if your earnings/profits are over £6,205 & 2019-20 £3.00 per week if your earnings/profits are over £6,365. Class 2 NIC is now calculated as part of your annual self assessment tax return and payable along with any tax & Class 4 NIC liability.
CLASS 4 NIC
In addition to Class 2 National Insurance Contributions as a self employed person you will also be liable to pay Class 4 National Insurance Contributions as follows:-
2012-13 9% of earnings/ profits between £7,605 and £42,475 and 2% after that.
2013-14 9% of earnings/ profits between £7,755 and £41,450 and 2% after that.
2014-15 9% of earnings/ profits between £7,885 and £41,865 and 2% after that.
2015-16 9% of earnings/ profits between £8,060 and £42,385 and 2% after that.
2016-17 9% of earnings/ profits between £8,060 and £43,000 and 2% after that.
2017-18 9% of earnings/ profits between £8,164 and £45,000 and 2% after that.
2018-19 9% of earnings/ profits between £8,424 and £46,350 and 2% after that.
Class 4 NIC are calculated as part of your self assessment tax return and will be deducted by HMRC from any tax refund that is due provided there is a sufficient refund, otherwise you will be liable to pay any tax and NIC's due.
AM I REQUIRED TO COMPLETE A SELF ASSESSMENT TAX RETURN?
All self employed persons are required by law to complete an annual self assessment tax return i.e. your CIS Tax Return. This is why firms like ourselves exist, so that filing your CIS Subcontractor Tax Return and Refund can be MADE EASY for you.
DEADLINES FOR FILING OF SELF ASSESSMENT TAX REFUNDS
The deadline for filing paper returns is the 31st October following the tax year ending 5th April and for on-line returns it is the 31st January following the end of the tax year. So for the tax year 2018-19 ending 5th April 2019 paper returns must be filed by 31st October 2019 and on-line by 31st January 2020. Any tax due must be paid by the relevant 31st January.
If you move abroad it is essential you notify HMRC of the date you left or are leaving the UK. This can be done as part of your self assessment tax return. You will recieve a full year's personal tax allowance in the tax year that you leave the UK and in the year you return if you come back to the UK. If you stop submitting returns but don't tell HMRC that you no longer need to complete a return you will continue to be charged substantial penalties with interest for each year you fail to submit a return.
PENALTIES FOR LATE FILING
Penalties will be imposed if your self assessment tax return is not filed in accordance with the deadlines.
For the tax year 2015-16 (on-line deadline 31st January 2017) the penalties are as follows:-
1 day late - £100 fixed penalty even if there is no tax to pay or if it has been paid on time.
3 months late - £10 for each following day up to £900 plus the £100 fixed penalty above.
6 months late - £300 or 5% of the tax due whichever is the higher plus the above.
12 months late - £300 or 5% of the tax due whichever is the higher plus the above.
In serious cases it may be 100% of the tax due instead as well as the above.
GETTING YOUR CIS TAX REFUND
In order to be able to claim a Subcontractor tax refund you will need to complete a self assessment tax return at each tax year end and of course at CIS MADE EASY we can do that for you.
Good record keeping will ensure that you get the maximum available refund, so it's important that you keep all your income and tax statements from contractors as well as any receipts for business expenses incurred.
WHAT IF I HAVE MISSING CIS STATEMENTS!
WHAT EXPENSES CAN I CLAIM FOR?
Expenses that are incurred wholly and exclusively for the purpose of the business, e.g.
Materials and Loose Tools
Personal Protective Equipment
The Costs of Subcontractors that you have engaged
Use of your home as an office
Accountants/ Professional Fees
Travel and subsistence
Motor Expenses- either as mileage claims or percentage of costs
Telephone - Mobile and Home (Business use)
Stationery, printing and postage
Subscriptions & memberships
Advertising and promotion
Bank interest and charges
Capital allowances for business assets
Our straight forward pack contains easy to complete sections for your expenses and we will also include a mileage log sheet to complete if you are claiming mileage, all you have to do is contact us. Mileage logs downloads for 2018/19 & 2019/20 are available at the top of this page.
You are not required by law to have Public Liability Insurance but it is advisable. Employers Liability Insurance is a legal requirement if you have employees. You can easily get a quote on-line but if you would prefer to talk to somebody we can arrange this for you.
UMBRELLA VS CIS
If you are engaged through an agency you may be offered the opportunity to work under an Umbrella Scheme (this a PAYE scheme under which temporary workers can claim an offset for expenses such as mileage, meal allowance, PPE etc.). If you ask for a comparison of take home pay, please ensure that they take into account the fact that you can also claim many of these expenses, often the comparison is only made against CIS gross less 20% tax. You may possibly lose out.
We are always striving to improve our service and website, we would be grateful if you would please post any comments or ideas below.
Monday - Friday 08:00 - 21:00
Saturday 10:00 - 14:00
If you have any queries please contact us:
Tel: 0113 418 2058
Mob: 0779 4734711 (text Name & Address followed by "CISPACK" or "SATPACK") & we will send you a CIS Tax Return or Self Assessment pack.
Alternatively, please use our contact form.