Taxation and subbies

[owls]

gross tax staus, you need to turnover over 200,000 for a ltd [not including vat], im not sure of sole traders
imgross staus and it works well for us, but you have to have a good record of your paye returns and you cant be late with your cis returns overwise they revoke it.hmrc will generally look at each case on a case by case basis.
what i do is pay the money into a compny isa, thus im not tempted to spend it through the year, and i earn tax free intrest on the amount.

 

[TonyM]

I thought you could only offset CIS tax if you were limited?

 

[johniosaif]

Sound a much simpler solution. It might be different when self-employed; I was talking as a Limited company and working for other Ltd companies.

I am Cis contractor, I employ the same.I often work for the main contractors and sometimes builders who own the property and they can pay you without deductions but you are then responsible for your own tax payments, I have to deduct from subbies unless its my own property..

 

[owls]

I thought you could only offset CIS tax if you were limited?

not a clue.

 

[steve1903]

get an accountant.

 

[22jasper]

Limited companies are also subject to deduction under CIS. Ltd status does not entitle you to gross payment status.