Construction Industry Scheme

The Construction Industry Scheme (CIS) is a Scheme introduced by HM Revenue & Customs to enable construction workers to be self-employed. On registering with HMRC for CIS, you will be given a Unique Tax Reference Number (UTR) which each contractor will need to verify your tax status. The tax status is determined by HMRC and will be one of 3 levels, Gross, 20% or 30% taxation.

MMC is a commercial contractor. We sub-contract you and your services out to recruitment agencies and clients. MMC then charges the agency or client a fee for the services that you have provided, out of this fee we then deduct a competitive margin from the contract.

On a weekly basis MMC pays its sub-contractors for the services they have provided, all CIS deductions are taken at source, therefore what your receive in your bank account is yours to spend!

As a self-employed contractor any expenses that you incur in the course of providing your services, you can claim for at the end of the financial year by completing a tax return. If you are unsure about how to do this, let us know and we will put you in touch with an accountant.

Most agencies are unwilling to contract directly with self-employed sub-contractors, therefore contracting through a commercial contractor like MMC gives you the opportunity to take agency work whilst keeping your self-employed status.

MMC liaises with the agency and invoices them for the work that you have done. On a weekly basis we then release a payment to you after deducting the CIS tax contributions at a level advised by HMRC at the time of verification.

On a weekly and monthly basis MMC will send you a payment advice for your records to make completing your tax return easier.

As a self-employed sub-contractor you are in charge of making your own National Insurance contributions, in order to set up a direct debit call HMRC on 0845 366 7899.