CIS Calculator
Calculate Construction Industry Scheme deductions for subcontractor payments. Supports 20%, 30%, and gross payment status.
Payment Details
Labour portion of the payment (subject to CIS deduction)
Materials are exempt from CIS deductions
CIS Calculation
Contractor Responsibility
As a contractor, you must deduct CIS from payments to subcontractors and pay this to HMRC. The deduction counts towards the subcontractor's tax and National Insurance.
About CIS Deduction Rates
Subcontractor is registered with HMRC for CIS
Subcontractor is not registered for CIS
Subcontractor has gross payment status approval
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Try AI Invoice Importer free →Understanding CIS Deductions
The Construction Industry Scheme (CIS) requires contractors to deduct tax from payments to subcontractors and pass it to HMRC. The deduction counts towards the subcontractor's tax and National Insurance bill.
Deduction Rates:
- 20% - Registered: Subcontractors who are registered with HMRC for CIS
- 30% - Unregistered: Subcontractors who are not registered for CIS
- 0% - Gross Payment Status: Subcontractors who have applied for and been granted gross payment status
What's Exempt:
- Materials supplied by the subcontractor
- Equipment hire (if separately itemised)
- VAT (deductions are calculated on the net amount)
Frequently Asked Questions
What is CIS and who does it apply to?
The Construction Industry Scheme is a UK tax deduction scheme where contractors deduct money from subcontractor payments and pass it to HMRC. It applies to construction work including building, repairs, decorating, demolition, and civil engineering.
What is the CIS deduction rate?
Registered subcontractors have 20% deducted. Unregistered subcontractors have 30% deducted. Subcontractors with gross payment status have 0% deducted but must still be verified with HMRC before each payment.
Are materials subject to CIS deductions?
No, materials are exempt from CIS deductions. Only the labour portion of a payment is subject to CIS. Make sure to clearly separate materials from labour on invoices to ensure correct deductions.
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