CIS statements (very boring)

Cornelius

Cornelius

Well-Known Member
morning gents, does anyone else struggle obtaining CIS statements? I'd like to get my tax return in and I'm hopeful of a little rebate but it's always hard work getting the statements from contractors. A lot of guys manage to do their tax return without them just using bank statements but my accountant is adamant without them there is no proof my deductions have been paid to HMRC. Some of you guys will have subbies on and should be providing them with a monthly statement, is it really that much of a pain to get this done? Cheers.
 
It is a ball ache, but it has to be done. I do quarterly statements for @Nisus because it suits us both.
 
Cornelius said:
Why is it a ball ache? Just extra paper work you could do without?
Click to expand...

Yeah. A return has to be completed every month even if nothing was paid to anyone. If you're late with a return then you get fined £100.

Not complicated or difficult, getting registered can take a while as anything with HMRC. Just more time spent doing paperwork and collecting money for HMRC which is their job be we have to do it for free.

It also acts as another tracking system for them. So if I don't pay the tax for a sub contractor (collected or not) they can carry out an audit on me and them. The also have access to loyalty cards and monthly spend with merchants if they want it. So it's another one where it wouldn't be worth the risk of trying to dodge it. Keep your nose clean with HMRC and you'll mostly be OK.

I have an insurance policy through the accountant so that if HMRC ever want to carry out an audit for any reason the cost of the accountant preparing everything and going to meetings is covered. Reasons for an audit can be anything from someone reporting you for something, to a discrepancy between what you declare, and someone you pay or are paid by declaring.
 
Cornelius said:
Because it's easier for you not to do the paperwork every month, I get that but my understanding is that a statement should be issued within 14 days after the end of each tax month?
Click to expand...

Technically it should. The cut off date is the 05th of each month, and returns must be completed and submitted by the 19th. When the return is submitted you give a statement to the subby. If it's just one subby that you've paid and you work together frequently then the statements are only really needed for their accounts at the year end.
 
imago said:
Yeah. A return has to be completed every month even if nothing was paid to anyone. If you're late with a return then you get fined £100.

Not complicated or difficult, getting registered can take a while as anything with HMRC. Just more time spent doing paperwork and collecting money for HMRC which is their job be we have to do it for free.

It also acts as another tracking system for them. So if I don't pay the tax for a sub contractor (collected or not) they can carry out an audit on me and them. The also have access to loyalty cards and monthly spend with merchants if they want it. So it's another one where it wouldn't be worth the risk of trying to dodge it. Keep your nose clean with HMRC and you'll mostly be OK.

I have an insurance policy through the accountant so that if HMRC ever want to carry out an audit for any reason the cost of the accountant preparing everything and going to meetings is covered. Reasons for an audit can be anything from someone reporting you for something, to a discrepancy between what you declare, and someone you pay or are paid by declaring.
Click to expand...
My accountant offered me that service incase of an investigation. I decided against it as it's just another cost to add to many others. I know if I do get the taxman breathing down my neck I'll be wishing I decided to go ahead with it :loco:
 
Cornelius said:
Keep on top of it and do things by the book, good for you! Sounds like you are in the minority though.
Click to expand...
My accountant does it all for me, expensive, but a necessary evil running a business. I'm forever chasing them up for outfits we work for mind, youd think I was asking for a kidney, the way they react.
 
owls said:
My accountant does it all for me, expensive, but a necessary evil running a business. I'm forever chasing them up for outfits we work for mind, youd think I was asking for a kidney, the way they react.
Click to expand...
Sounds like you're running a tight ship! Unlike the clown I've been dealing with.
 
Monthly from day one. Keeps you up to date and you don't have to struggle later.some are coming, some are going and I like everything to be by the book.
 
You must log in or register to reply here.

Share this page

Back
Top