Date that CIS tax deduction taken.

Which tax year is CIS tax taken.

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Hi all,

When a contractor deducts CIS tax on an invoice from a limited company subcontractor, does the subcontractor take the benefit of the deduction according to the date of its invoice or when the invoice is paid?

Thanks.

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By Moonbeam
28th Apr 2020 17:23

the contractor submits a CIS return to HMRC dated to 5th of the following month listing deductions by paid dates, and should give each sub contractor a statement of their own position.

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Replying to Moonbeam:
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By brian-scholar
28th Apr 2020 17:56

Thanks Moonbeam. Yes, in an ideal world that would happen. Getting a certificate from a contractor is not always easy but taking the date of payment makes sense.

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RLI
By lionofludesch
28th Apr 2020 18:09

Date of payment is king.

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RLI
By lionofludesch
28th Apr 2020 18:12

I do try to point out to my clients that they'd chase a tenner if they dropped it in the street, yet they don't seem to bother about losing a voucher worth £200 off their tax bill.

These tax certificates are just like money. Lose them at your peril.

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