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Rochelle Henry

The Construction Industry Scheme (CIS): Understanding What Falls Inside and Outside



Navigating the Construction Industry Scheme (CIS) is crucial for maintaining tax compliance and minimising tax evasion within the construction sector. At Stonebridge, we take the lead in determining whether the services provided by our operatives fall under CIS. Our team evaluates the nature of each job to ensure compliance, while our operatives are responsible for understanding CIS requirements and maintaining accurate records.

 

Below is an inexhaustive summary of what is typically considered inside and outside of CIS:

 

Within CIS:

  1. Construction Work: Includes tasks such as building, civil engineering, and demolition. Any work related to constructing, altering, repairing, or maintaining buildings or structures.

  2. Site Preparation: Activities like excavation, site clearance, and preparing land for construction.

  3. Installation and Erection: Covers the installation of systems such as electrical and plumbing, along with other infrastructure components.

 

Outside CIS:

  1. Non-Construction Work: Activities that are not related to building or structural changes, including office work and administration.

  2. Plant Hire: Simply hiring out equipment or machinery without providing construction services.

  3. Minor Residential Repairs and Maintenance: Routine maintenance and small repairs in domestic properties not related to major construction work.

  4. Professional Services: Work by architects, surveyors, and consultants offering professional advice or consultancy services.

 

At Stonebridge, we ensure a thorough assessment to determine if a role is outside CIS. A clear understanding and correct application of CIS helps prevent potential HMRC penalties and ensure smooth financial operations across our supply chain. If there is ever uncertainty about a role’s CIS status, our team will consult with our professional advisors to ensure full compliance.

 

For any questions or further clarification on CIS, feel free to contact our compliance team at compliance@sbcontracting.co.uk.

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