CIS accounting services in Southampton
Struggling with a disorganised construction business that recognises its operational shortcomings but lack the know-how to address them? BBK Accounts can implement various tools and systems to get you sorted!. Staying on track with projects, finances and CIS submissions is easy with us.
Why use our CIS accounting
services in Southampton
The UK construction sector is known for the complexity of its tax rules and the frequency with which they change. If you run a construction business, you know how tedious your tax filing can be, and you may have heard the stories about the hefty fines imposed if a mistake is made. It’s certainly not ideal trying to handle it on your own.
The Construction Industry Scheme (CIS) was set up by the HMRC, originally, to stop fraud in the payment of subcontractors. As you will know as a contractor, you are obliged to report to HMRC about the subcontractors you are using, and deduct their tax from their earnings. It is similar to an employee where their tax is taken and paid to HMRC via PAYE, but subcontractors are not employees and this is just a way for HMRC to ensure they pay their tax up front.
There are different rates of tax dependent upon the subcontractor and the type of registration they have. So you’ll need to know this information, which is a process called verification. The subcontractor is responsible for paying any outstanding tax at the end of the financial year on their total earnings, or claiming a refund – but that doesn’t make it any easier for you.
In fact, trying to manage your accounts, eligibility, form filling and submissions on top of managing your construction business is likely to be a step too far.
At BBK Accounts, we’ve worked with construction companies of all sizes. From advice and help on registration, supplying your subbies with tax deduction certificates, and keeping you updated with CIS changes, we do it all. Here’s a few examples of how we can help:
CIS returns
Working with subbies? No problem. As you know, you’re required by HMRC to verify that all your subbies are legally working for you. We provide a simple form for your subbies to enter their details and we then handle the verification on your behalf. We will also tell you the correct tax deduction rate for each and advise you when to pay the tax amount to HMRC.
Once a month we will issue them with their Tax Deduction Certificate, file your CIS300 with HMRC and advise you how much tax you need to pay over to HMRC and by when. The timescales for CIS returns are quite tight and the penalties can mount up quickly, so this is definitely one to keep on top of!
CIS reclaims
Or what if you don’t hire subbies yourself, but your business is a subcontractor to another company? We take care of that, too! In this situation where you might receive your income after tax deduction, we help you report it monthly to HMRC.
At the end of the tax year, we re-examine these deductions and see whether they offset the tax liability from your PAYE scheme or whether we can allocate them to an outstanding VAT or Corporation Tax liability. There are lots of options and our goal, as always, is to reach the most optimal financial outcome for your company. We can also guide you on applying for Gross Status and when it is or isn’t a good idea.
Registration as a contractor
It is a legal requirement for you to register for CIS as soon as your business becomes a contractor. So if your construction business either:
Takes on subbies to carry out work for your business. In this instance, you become a ‘Mainstream contractor’.
Does not undertake construction work but has spent more than £3 million on construction in the 12 months since it made its first payment. Here you are known as a ‘Deemed contractor’
Then you are required to register as a CIS contractor and our expert team can guide you through the steps.
CIS penalties
It definitely pays not to be late when you submit your monthly returns. You will be fined £100 if your return is just one day late. Delay by two months and you will receive a further fine of £200; by six months there is a further £300 fine or 5% of any liability to make payments that should have been shown in the return.
Don’t want to be late, then let us work with you to ensure it doesn’t happen?
Scope of our CIS accounting services in Southampton
We’ve worked with many construction businesses and can help you with the tailored expertise you need. Our services include:
- Monthly filing of CIS300 returns
- Subcontractor verification and compliance management
- CIS income reporting and reclaim services
- Strategic tax planning and payment optimisation
- Business structuring for tax efficiency
- Guidance on applying for Gross Status under CIS
How can we help you?
Our team of accountants can handle all your
tasks related to CIS accounting
What makes our CIS accounting in Southampton so different?
Get accurate,
timely advice
We understand the nuances of the industry and stay up-to-date on HMRC regulations—which can be pretty tricky to navigate unless one has experience in the space. We can guide on the necessary tax regulations, work seamlessly with your subbies, and plan your business structure.
Real people,
real service
We offer a wealth of perspectives from our highly experienced team while retaining the personal feel of a one-on-one relationship. No call centres or faceless customer service. Just the friendly experienced team here who you can talk to when you need help.
Master construction compliance
We can help with all the construction-specific tax procedures and advise you on optimising your cash flow and applying for tax relief. Meet all regulatory requirements while maximising your financial benefits with our help.
Location isn’t
a barrier
Yes, that’s true! We’re based in Southampton, but you don’t need to be local. We work with clients all over the UK (and beyond!), leveraging the power of technology to easily manage your CIS accounting and keep your financial records in order.
Client cheers
Check out real success stories
from those we’ve helped
Since working with BBK Accounts, we’ve seen a marked improvement in how we manage project costs and keep a closer eye on expenses, ensuring we stay within budget, which has had a direct impact on our bottom line. What I appreciate most is their personalised service—they genuinely understand the unique challenges of the construction industry and are invested in our success.
Damian Kopka
I've been with BBK for three years, and I couldn't be happier with their service. Their receipt scanning app makes managing my accounts a breeze, and I always know my tax liabilities well before payment is due. It really takes the hassle out of accounting!
Erik Gale
I have ben using BBK for many years now and have been really impressed with Jenny and the whole team. Happy to answer simple and more complicated questions and really reasonable prices too! Highly recommended.
EMJ
She (Jenny) was looking after my accounts for several years before I joined the partnership. I am now going back to her to get the excellent personalised service I had from her.
SF
This (the UK tax system) really is all quite confusing to me. I am so pleased BBK is there to guide me through this.
MH
Filing my personal tax returns used to be a daunting task, but BBK Accounts has made it so much easier. They handle all the details and ensure that everything is filed correctly and on time, saving me both time and worry.
JB
Frequently Asked Questions (FAQs)
Why do I need a specialist construction accountant?
Tax laws in the construction sector are quite complex and often differ from those that apply to other industries. Working with a construction tax specialist like BBK Accounts ensures you are always assured of pertinent tax advice and full compliance with the relevant laws.
What are the relevant tax deadlines for my construction business?
You’ll need to send monthly returns to HMRC by the 19th of every month following the previous tax month, with the electronic payment deadline quickly following by the 22nd. If you aren’t paying subcontractors in a specific month, you must inform HMRC of that fact with a nil return. The timescales for CIS returns are quite tight, and the penalties can mount up quickly, so this is definitely one to keep on top of!
