CIS and Directors

CIS and Directors

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Client and his brother formed a company a few months ago. Company is receiving income having tax deducted under CIS.

Brother and he are both CIS - am I correct in saying that the 2 directors are now PAYE so no CIS is to be deducted from payments taken from company?

So if we give a salary of the usual limit the amount received is gross with no CIS deducted. Any other withdrawals from Directors loan account are in the form of dividends?

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By stratty
12th Nov 2013 17:40

Correct

You are correct.  

Out of curiosity what is your training?

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Replying to maryy2018:
By Howard Marks
12th Nov 2013 20:13

Echo that

stratty wrote:

You are correct.  

Out of curiosity what is your training?

Given your OP, I'm a tad scared to think you're looking after a CIS registered LTD. Knowing the difference between a subbie and a director/employee is foundation stuff.

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