CIS Returns Accountant For Contractors and Subcontractors.
Contractors and subcontractors working under the UK Construction Industry Scheme (CIS) face specific HMRC registration, deduction, reporting, and record-keeping responsibilities. Cartwheel International provides CIS accounting services for UK construction businesses, including contractor CIS registration, subcontractor verification, monthly CIS return support, payment and deduction statements, subcontractor refund support, and HMRC compliance.
Your dedicated team of accountants │ ACCA & AAT qualified
Expert Construction Accountants, Trusted by UK Builders and Traders.
- 10+ years experience of filing CIS returns
- Certified HMRC agents, fully compliant
- Zero missed deadlines, on-time CIS returns
- HMRC representation in the event of HMRC enquiry
- Dedicated support, online, in person and by phone
- Subcontractor Verification
- Free Representation
- HMRC Compliant
- Accurate CIS Deduction
What Is CIS Return?
CIS return, is the report a contractor submits to HMRC under the Construction Industry Scheme. It lists every payment made to subcontractors during the tax month, along with any tax deducted from those payments before the balance was paid out. The scheme collects tax due from subcontractors in advance, similar to PAYE for employees, rather than leaving it entirely to the subcontractor’s own tax return. Contractors must submit a return for every tax month they are registered under CIS.
Who Needs to File CIS Return?
You need to file CIS returns if you are a contractor within the scheme. This includes:
Mainstream Contractors
building firms, developers and construction businesses that pay subcontractors for construction work.
Deemed Contractors
Businesses outside construction that spend heavily on construction operations, such as large retailers, housing associations or property companies.
Subcontractors Act as Contractors
Many construction businesses pay subcontractors while also being paid themselves, and therefore take on contractor obligations.
How Our CIS Returns Filing Service Works?
1. Onboarding and Registration Check
We confirm your contractor status with HMRC, register you if needed, and check the registration status of your subcontractors.
2. Monthly Payment and Deduction Review
Each month, we collect your subcontractor payment details and verify that the deductions applied are correct for each subcontractor’s status.
3. Return Preparation and Submission
The monthly return is prepared, checked, and submitted to HMRC ahead of the 19th of the month deadline.
4. Statements and Ongoing Support:
Deduction statements are issued to your subcontractors, and we remain your point of contact if HMRC raises any questions on a submitted return.
Why Construction Businesses Choose Cartwheel For CIS Returns.
- Construction Industry Focus: We provide more than standard accounting support. Our team helps construction businesses manage CIS, VAT, payroll, bookkeeping and job costing with clear, sector-focused accounting support.
- Dedicated Support for Contractors and Subcontractors: Whether you are a main contractor, specialist subcontractor or limited construction company, we help you manage CIS records, reduce tax risk and improve reporting accuracy.
- HMRC Compliance and Penalty Risk Reduction: CIS submissions must be accurate and submitted on time. We help you stay organised, meet monthly CIS deadlines and reduce the risk of HMRC penalties.
- Dedicated Accountant and Cloud Support: Work with a named accountant who understands your business and connects CIS records with your cloud accounting system.
How Much Does Your CIS Returns
Service Really Cost?
Comprehensive CIS returns service. No confusion, No false promises!
CIS Returns
From Registration to Submission
From
£79
+VAT/month
- Bookkeeping
- Payroll
- CIS
- Accounts and Corporation Tax Filing
- Dedicated Accountant
CIS Return Filing
Deadlines and Penalties
CIS returns cover the tax month running from the 6th of one month to the 5th of the next, and are due by the 19th of the month in which that tax month ends. If no payments were made, contractors must submit a nil return unless they have told HMRC they have temporarily stopped using subcontractors. Late or missing returns can incur escalating penalties.
One day late
An initial fixed penalty applies.
Two months late
A further fixed penalty is added.
Six months late
An additional penalty applies, calculated as a fixed amount or a percentage of the CIS deductions on the return, whichever is higher
Twelve months late
A further penalty on the same basis, with higher penalties possible where HMRC considers the failure deliberate
What's Included In Our
CIS Return Filing Service?
CIS Registration
Registering your business as a contractor or subcontractor with HMRC, including gross payment status applications where appropriate.
Subcontractor Verification
Confirming each subcontractor’s registration status with HMRC before the first payment, so we apply the correct deduction rate from the start.
Monthly Return Submission
Deduction Statements
CIS and VAT Reconciliation
HMRC Support
Construction Industry Resources
Yes. Since April 2026, contractors must file a CIS return monthly, even if they paid no subcontractors. In a month with no payments, you can file a nil return or submit an inactivity request, which covers you for six months. We can handle your returns.
The monthly return must reach HMRC by the 19th and cover the tax month that ended on the 5th. For example, the return for 6 September to 5 October is due by 19 October. Deductions must be paid by the 22nd if you pay electronically.
HMRC charges automatic penalties, starting at £100 for a late return and adding £200 at two months. At six months, the penalty is at least £300, or 5% of the deductions if higher, and a further penalty can apply at twelve months. Each late return is penalised separately, including nil returns. If you’ve fallen behind, file the missing returns as soon as possible and contact us for help.
The rate you apply depends on the subcontractor’s status. CIS-registered subcontractors have 20% deducted, while unregistered subcontractors face 30%. Subcontractors with gross payment status receive their full payment with nothing taken off. Before paying anyone for the first time, run a verification check with HMRC to confirm which rate applies to that person or company. Tax is only taken from the labour portion of an invoice, so the cost of materials and any VAT are left out of the calculation.
Yes. The tax taken under CIS is really a prepayment against what you will owe for the year, so any excess is returned to you. If you are a sole trader, you recover it by completing a Self Assessment return, and having your payment and deduction statements to hand will make the process smoother.
Yes, but through payroll rather than Self Assessment. The company reports the deductions on its Employer Payment Summary (EPS), and HMRC offsets them against PAYE and National Insurance it owes. You can offset any excess against Corporation Tax or claim it as a refund after the tax year ends.
It depends on your setup. Contractors who pay subcontractors need CIS, and those who also have employees need PAYE. A limited company subcontractor usually needs a PAYE scheme too, because that is how its CIS deductions are recovered. We can review your situation and make sure it is set up correctly.
FAQs On CIS Returns Filing
Get clear answers to the most common questions UK construction businesses ask about CIS returns, deadlines, records, deductions, and HMRC requirements.
Do I Need To
Register For CIS?
- Dedicated ACCA and AAT qualified accountants
- We take care of the entire CIS returns for you
- No hidden charges. Get a personalised quote
- Our digital process makes CIS returns quick and simple
- Always have access to expert accountants
