I've just started working for a Company that uses subcontractors. This company has never deducted CIS as the engineers used were primarily air conditioning engineers. Yet now we are also going to be using Electrical Subcontractors.
We don't really want to go down the CIS route and I've noticed on the HMRC website that if its less than £1 million spent on construction works then there would be no need to deduct CIS from the subcontractors. Am I understanding this correctly that as our company's turnover is around £650k per year and that is for both air conditioning works and electrical works we would not have to make any deductions?
I've also being told by someone already in the industry that if our subcontractors become a limited company and I work for them as a book-keeper and do all the accounting works for them that this would be another way of not having to deduct anything.
Can anyone assist me as I want to make sure that what my MD wants to do is correct and that there will be no comeback from the HMRC as I know how strict they are when it comes to CIS.
Any advice will be grately appreciated.
- Scottish independence - what happens to HMRC? 993 56
- Are HMRC cutting out Agents in tax investigations? 230 2
- Dental practice incorpration 102 1
- Audit rules 146 4
- Stopping trading and de-registering for VAT 219 5
- Disengaging a client who uses our office as a registered office address 801 20
- Go Cardless 254 8
- business entertaining deductibility 113 1
- Self assessment tax arrears 113 2
- R & D 99 3
- Shareholder/Directors termination payments 68 1
- Childcare vouchers and final month payroll Qs 106 2
- Can anybody help withe the RTI end of year process? 146 3
- Payroll software with annual pay period? 137 1
- New Business Registration 209 5
- Hosted email exchange 127 4
- Excel formula for UK corporation tax including losses 145 1
- G P life time allowance 113 3
- Why will HMRC not code out my client's £1,730 underpayment for 12/13 369 11
- Bringing money to Uk 214 3
- Xtuple 500
- Qtac payroll for bureau 333
- Confused - Professional Association a Mutual trader, or not? 277
- Industrial & Provident Societies 275
- Mehjoo 219
- Data transfer from Sage Line 50 to VT Transaction+ 216
- New strategic report 169
- Domain name sale and limited company 156
- South African Government Pension 153
- CIS schemes 147