In this section:
- Getting paid and paying tax - advice for subcontractors
- Paying subcontractors - advice for contractors
- How to pay CIS deductions to HMRC if you're a contractor
- Using CIS Online
- Correcting monthly return and payment errors
How to pay CIS deductions to HMRC if you're a contractor
If you operate as a contractor under the Construction Industry Scheme (CIS), you will need to pay over to HM Revenue & Customs (HMRC) any deductions that you are required to take from your subcontractors' payments. This is normally 20 per cent of their gross pay, after allowing for the costs of any materials they need to buy. You will need to pay these deductions over to HMRC every month, (or quarter if the amount involved is small).
At the end of each tax year, you will have to balance up what you owe or are owed by HMRC.
On this page:
Getting started with CIS payments
HMRC will set you up with a payment scheme as soon as you register with us as a contractor. If you already have employees, HMRC will simply change your existing PAYE (Pay as You Earn) scheme to a PAYE/CIS scheme. CIS deductions should be added to the PAYE/NICs that you pay and a single payment should be made each month or quarter.
If you do not already have employees or have not been set up with a payment scheme before becoming a CIS contractor we will give you a scheme for CIS payments only.
Find out about registering as a CIS contractor
Use CIS Online to register as a contractor
How to make payments to HM Revenue & Customs
You will find all the information you need to make payments to HMRC by following the link below to how to make PAYE payments. This guide includes details about making CIS payments and covers all aspects of how to pay, from electronic payment methods to posting your payments.
To find out about when you need to make payments to us follow the link below to PAYE/NICs payment deadlines.
Find out how to make PAYE/NICs/CIS payments to HMRC
Find out about PAYE/NICs/CIS payment deadlines and interest charges
More useful links
Paying subcontractors under CIS - advice for contractors
Correcting monthly return and payments errors
Find out about mandatory electronic payments for large employers/contractors
Guidance if you have a problem making a PAYE/CIS payment
