CIS applies to most workers in the construction industry. If you are a contractor you will need to deduct CIS tax from your subcontractors.
The Construction Industry Scheme (CIS) is tax paid to HMRC by contractors and subcontractors. It is designed to increase the revenue collected from the construction industry. Contractors deduct a percentage from a subcontractor’s wage and pass it directly to HMRC. The deductions are viewed as advance payments towards the subcontractor’s tax and National Insurance (NI).
If you are a contractor, you must submit a CIS tax return that informs HMRC of the amount of CIS tax that you have deducted from your subcontractors (this lets them know how much you owe to the government). You must submit this to HMRC before the 19th of every month to avoid receiving a penalty.
You need to submit your CIS Returns to HMRC before the 19th of each month.