Good morning I am wondering if someone could advise me.
I have dealt with CIS many times before but the CIS I have usually dealt with has come from the employees wage slips and off set against PAYE.
This occasion the CIS has come from the customers invoice so its deducted at source not the employees wages, is this still off set against PAYE at the end of the year or is it against their SA.
Having a slight mental block here so clarification would be much appreciated.
Taylor, CIS can be hard to understand at times, and I think for the most part I have got my head round it (unless someone corrects me of course)
CIS suffered (as in they have it deducted for them) should be presented to the client on a monthly basis. effectivly showning them how much was taken from them and when.
When it comes to the SA there is a box on the online form for CIS suffered, add up his statements for CIS suffered and then enter it here. This will then come off his tax bill at the end of the year and MAY entitle him to a refund.
Thank you Gary - As it came off the invoices (rather than the employee's wages) I was unsure if I was to deduct it from the PAYE or his SA as he is a sole trader who employs 2 guys and when he sends his invoices out he deducts the CIS off of the customers invoices and I was a little confused between the SA and PAYE element of it - your help is much appreciated thank you so much for taking the time to clarify this.
He is the proprietor of a scaffolding company (sole trader) and he sends an invoice i.e £2,000 less CIS + VAT = Total which made me question where do I offset the CIS
ha ha so your used to dealing with my issue!!! If it was a subby I would deduct it from the SA however as its his own company and he takes drawings I am unsure if I should take it OFF of his PAYE liability or his own SA
Ps I used QB's too and the payroll for it not sure whether I like it or not :/ both sage and QB's much better than the new system I have to learn Xero!!
