Construction CIS

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I Work In Construction Under CIS. Can I Claim a Tax Refund?

Construction workers using the Construction Industry Scheme (CIS) can claim tax refunds for travel expenses to temporary workplaces. Overpaid tax can be claimed back for the last four years and the average 4-year rebate is £2,500.

Do I Qualify For A CIS Tax Refund?

Working on a building site keeps you busy, so there’s no reason your CIS subcontractor tax return should be hard work too. Here at FTR our friendly helpful team can quickly tell you if you are due a tax rebate.

What is CIS Tax?

CIS tax is a special tax scheme just for the construction industry. Under the CIS tax scheme, contractors make tax deductions from their subcontractors and pay the money to HMRC. The CIS tax deductions count as advance payments towards the subcontractor’s tax and National Insurance.

What is CIS Tax Deduction?

CIS tax deductions are payments to HMRC that your employer takes out of your wages before you get they pay them across to you. It’s one of the ways HMRC is clamping down on tax evasion in the industry. Unfortunately, it does mean most workers will end up paying too much tax every year. It does mean that when most subcontractors submit their tax return(s), most or all of their tax has already been paid and more often than not they are owed some tax back.

What is the CIS Tax Rate?

The normal rate of the CIS tax rate is 20% and because your personal allowance isn’t normally taken in to consideration, it is likely you will be owed tax. If you don’t register for the scheme, the rate will go up to 30% until you do!

How much can I claim back in my CIS tax rebate?

The average CIS Tax Rebate we claim is around £800 per year. That said, we have arranged claims of over £6000! You can claim for the last 4 tax years, so there could be a big CIS refund waiting for you at HMRC.

How Do I Get Started?

When it comes to your CIS tax rebate, you should do the following to get started:

  • Fill in our eligibility test, this will tell you if we believe you have a claim and give us some basic information about you.
  • After clicking Submit, our application pack will automatically load, please fill this in with as much information as possible.
  • You will then need to complete the Additional Information form (If prompted)
  • We will then send you an email requesting certain information from you

What If HMRC Demands My Refund Back?

Just like you, we stand by the work we do. With our FTR Guarantee if HMRC asks for any of your refund back, we’ll pay it from our own pockets! Get in touch today to see what the taxman owes you.