Contractor payroll solutions for CIS return

Under the CIS or Construction Industry Scheme a contractor must deduct money from their subcontractor’s payments and subsequently pass it to the HMRC or HM Revenue and Customs. It is therefore the responsibility of the contractors and not the subcontractors to register for the scheme. For your business you should opt for contractor payroll solutions offered by expert team of accountant Kent when you either pay some subcontractors for construction work or you pay out an average of over £1 million a year on construction jobs in any specific 3-year period even if you are not directly into construction business. Moreover, if you are involved in construction work for a contractor, you must register as a subcontractor.

 

So, if as a part of your business expansion plan you construct a building or decorate or refurbish your existing site and the expenditure crossed the above mentioned amount you should be aware of CIS. There are some reputed accountant Kent firms that have a special team to provide contractor payroll solutions. When you appoint such firms they would take the list of your CIS subcontractors and get them verified with HMRC. Accordingly, they would find out your CIS tax and will process the payslip and also email them to the recipients.

 

By outsourcing your contractor payroll solutions you not only save your time on making these specific arrangements and calculations but also save on huge amount of money. A good accountant Kent firm would never charge a fee for setting up your account or include some clause claiming exit fees. You can employ them even for one term to assess their quality of service as they do not have a ‘minimum term’ contractual obligation. Even if you have just a few subcontractors to be managed you can appoint them and as they charge a fixed fee for their service you would know exactly how much you need to pay them.

 

If you consider the process of CIS registration to be a hassle and think of employing a person instead of subcontracting the work, you would be charged a penalty. Your accountant Kent will keep you informed of these regulations so that you understand the importance of proper contractor payroll solutions. While paying the subcontractors, the accountant makes deductions from their payments that is to be deposited to HMRC. This would be considered as the advance payments towards your subcontractor’s tax and National Insurance bill and this should be filed every month to keep the CIS records updated. They would make sure to follow the procedures so that your business does not attract any penalty from the authorities.

 

Before appointing an accountant Kent for providing contractor payroll solutions, you should however be aware of these factors: If you are involved only in jobs like architectural design and surveying or hiring scaffolding without labour, delivering materials, carpet fitting etc. you need not to register for CIS. Also, if your business is related to a construction business that does not involve construction job, for example, running a canteen or supervising site facilities you are not supposed to register for CIS.

Employ an expert accountant Kent for complete contractor payroll solutions and save money and time in the process.