CIS accountant for UK contractors and subcontractors
CIS creates a job every month: verifying subcontractors, calculating deductions, filing the return and issuing statements. NDCA takes it off your plate, whether you are a contractor, a subcontractor or both.
In short: NDCA is an ACCA-regulated accountancy practice for contractors and subcontractors in the Construction Industry Scheme. We verify subcontractors, file monthly CIS returns by the 19th, issue deduction statements and reclaim tax deducted at 20% or 30% through Self Assessment or your company payroll. You work with a named accountant who understands construction.
What NDCA clients say
Verified Google reviews from NDCA clients.
In short: NDCA is an ACCA-regulated accountancy practice for contractors and subcontractors in the Construction Industry Scheme. We verify subcontractors, file monthly CIS returns by the 19th, issue deduction statements and reclaim tax deducted at 20% or 30% through Self Assessment or your company payroll. You work with a named accountant who understands construction.
What is on this page?
For contractors
Everything needed to stay compliant as a contractor:
- CIS registration with HMRC
- Subcontractor verification before every first payment
- Monthly CIS returns prepared and filed (CIS300)
- Payment and deduction statements issued to each subcontractor
- CIS deduction calculations, tied into payroll where required
- Nil returns or inactivity requests where no subcontractors were paid
- Domestic Reverse Charge VAT treatment on qualifying supplies
- Gross payment status applications and reviews
For subcontractors
Everything needed to get paid correctly and stay on top of your own position:
- CIS registration with HMRC for the right deduction rate
- Checking your current deduction status
- Gross payment status applications where the criteria are met
- Reconciliation of payment and deduction statements against your own records
- CIS refund claims through Self Assessment or Corporation Tax
- Tax returns built around CIS deductions already suffered
If you act as both contractor and subcontractor, common for limited companies working up and down the supply chain, we handle both sides under one accountancy service.
Technology that keeps the process organised
The software matters less than getting it right.
We use appropriate accounting and CIS software to record subcontractors correctly, calculate deductions accurately, prepare returns and keep everything organised in one place. Most of our clients run on Xero for their wider bookkeeping, VAT and payroll, and we confirm exactly how your CIS fits alongside that after the first call. You do not need to worry about which platform is doing the work behind the scenes, only that it is done correctly and on time.
CIS deduction rates
The rate depends on registration status.
Registered subcontractors are deducted at 20%. Unregistered subcontractors are deducted at 30%. Subcontractors with gross payment status are paid in full, with no deduction.
A worked CIS example
A registered subcontractor invoices a contractor £3,000 for a job: £2,400 for labour and £600 for materials they bought for it. The CIS deduction applies to the labour only, so the contractor deducts 20% of £2,400, which is £480, and pays the subcontractor £2,520.
The contractor pays the £480 to HMRC, reports it on that month’s CIS return and gives the subcontractor a payment and deduction statement. If the subcontractor were not registered, the deduction would be 30%, or £720. With gross payment status, there would be no deduction at all.
A sole trader subcontractor gets the £480 back through Self Assessment, where it counts towards their tax and National Insurance for the year. A limited company subcontractor offsets it each month against the PAYE it owes as an employer and claims any unused amount back after the tax year ends. VAT is left out of the CIS calculation, and where both businesses are VAT-registered and the customer is not the end user, the domestic reverse charge usually applies.
CIS gross payment status
Paid in full, with no CIS deduction at source.
Gross payment status lets a qualifying subcontractor receive payments without any CIS deduction. HMRC applies turnover, compliance and business tests. We assess whether you qualify and handle the application.
We do CIS differently
ACCA-regulated, UK-wide and built around a fixed monthly fee.
- Fixed monthly fee
Your CIS return is not a separate invoice each month. It is built into the fixed monthly fee agreed when you join. We confirm your exact fee before you come on board. - A named accountant
One accountant handles your CIS, not a rotating team or a ticket queue. We normally reply the same day. - Filed on time, every month
We track every deadline, including quiet months, and file before it is due.
Why NDCA?
A straightforward alternative to a portal or a call centre.
From sole traders working on site to main contractors running a full subcontractor list, we take the monthly paperwork off your hands so nothing slips. CIS can also sit alongside your bookkeeping, VAT and annual accounts under one accountant.
UK-wide, remote
Not tied to one part of the country.
NDCA works remotely with clients across the UK, wherever your business is based, from sole-trader subcontractors to main contractors running multiple sites.
Who we work with
NDCA CIS clients fall into a few groups:
- Sole-trader subcontractors
- Limited company subcontractors
- Main contractors running sites with multiple subcontractors
- Construction companies with several subcontractors on the books
- Businesses that operate as both contractor and subcontractor
- Property developers contracting work out to trades
- Businesses applying for gross payment status
We work with construction and trades businesses of all sizes. If your situation is not on the list above, get in touch and we will confirm how we would handle it.
Apron for invoice capture
Good CIS records start with accurate invoices and supporting documents.
NDCA uses digital tools to capture subcontractor invoices and receipts, helping separate labour from qualifying materials correctly where required. That keeps the CIS deduction calculation working from the right figures.
CIS return due soon?
A missed return costs £100 straight away and the penalties keep climbing. Send us your details and we will show you exactly how we would help.
Reviews
Discover why businesses trust us for dependable accounting services and practical financial advice.
What NDCA clients say
We work with businesses across the UK and beyond, delivering results that speak for themselves. Browse our reviews to see the impact we have made, and if you have worked with us, we would love for you to leave a review on Google
Switching from another accountant
If you already have an accountant and you are not happy, switching is simpler than people think. We send your current accountant a professional clearance letter, collect your records and pick up where they left off. How long it takes depends mainly on how quickly your previous accountant sends the records across, and we keep you updated throughout.
You do not need to wait for the next CIS month. You do not need an awkward phone call. We handle it.
CIS at a glance (2026/27)
View the key tax figures
| Deduction rates | 20% for registered subcontractors, 30% for unregistered subcontractors and 0% with gross payment status |
|---|---|
| Monthly return (CIS300) | Due by the 19th of the month after the tax month ends |
| Paying deductions to HMRC | By the 22nd of the month when paid electronically |
| Late return penalty | £100 straight away, rising at 2, 6 and 12 months late |
| Gross payment status turnover test | At least £30,000 a year of construction turnover, excluding materials, for a sole trader |
Figures are for the 2026/27 tax year and were checked against GOV.UK guidance. Your own position depends on your circumstances, which we confirm before any advice.
CIS FAQs
Our fees start from £95 plus VAT a month for limited companies, with no setup fee. Self Assessment starts from £245 plus VAT as a one-off fee. You receive a fixed quote at the end of your free 30-minute call, based on your turnover, transactions, VAT, payroll and number of directors. Any records alignment or bookkeeping catch-up is quoted separately in writing before work starts.
CIS is a tax scheme run by HMRC where contractors deduct money from a subcontractor’s payments and pass it directly to HMRC. The deductions count as advance payments towards the subcontractor’s tax and National Insurance. CIS applies to most construction work in the UK.
Registered subcontractors have 20% deducted, unregistered ones 30% and those with gross payment status nothing. We register every new subcontractor before their first payment to keep them on the lower rate.
CIS returns are due by the 19th of every month, covering payments made to subcontractors in the previous tax month (6th to 5th). A return is due every month. If you made no payments in a month, you file a nil return or tell HMRC the business is inactive. Missing it triggers the £100 late filing penalty.
HMRC charges an automatic £100 penalty for a return filed one day late, with further penalties at two months, six months and twelve months. Repeated late filing can also affect gross payment status. We file every month before the deadline.
Yes, unless you have told HMRC in advance. Since 6 April 2026 a nil return is a legal requirement for any month with no subcontractor payments, unless you have asked HMRC to treat the scheme as inactive, which covers up to six months. We track this every month so a quiet month does not turn into a £100 penalty.
Sole traders and partners claim them through their Self Assessment return. Limited companies offset them each month against the PAYE and National Insurance they owe as an employer, and reclaim any unused amount from HMRC once the tax year is over. Keeping every payment and deduction statement makes the claim quicker.
From 6 April 2026, payments made to local authorities and other public bodies fall outside CIS and nil returns became a legal requirement unless HMRC has been told the scheme is inactive. New anti-fraud rules also let HMRC remove gross payment status straight away where a business knew, or should have known, that a payment was connected to fraud and the bar on reapplying rose from one year to five.
Yes. Many construction businesses buy materials and labour up and down the same supply chain, acting as a contractor on some jobs and a subcontractor on others. NDCA registers and verifies you correctly on both sides, files your contractor returns and handles your own CIS position as a subcontractor, all under one fixed monthly fee.
Related guides
How to Register as a CIS Contractor or Subcontractor
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CIS Deductions Explained: What Gets Taken From Your Payments
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How to File a CIS Monthly Return: Deadlines, Nil Returns and Penalties
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Ready to hand over your CIS?
Most contractors give us their subcontractor list once and rarely have to think about the 19th again. We verify new starters, calculate deductions, file the return on time and chase up missing payment and deduction statements. Send us a few details to get started.
