The Construction Industry Scheme makes contractors responsible for making deductions from subcontractors’ payments and passing them on to HMRC, which receives them as advance payment towards the subcontractor’s tax and National Insurance.
It is not just those in the mainstream construction industry who must comply. Property developers, local authorities, housing associations — in fact any company that spends over a million over a three-year period on construction work — must sign up to the scheme.
While this legislation increases the flow of money to HM Revenue, it represents a cost to those administering it in time and hassle. That is where Pro Pal steps in: taking on the admin burden, easing data flow and improving efficiency.
This functionality is a small example of how Pro Pal reduces admin time. Many such pieces build to a real change in how your business operates.
- Apply standard or custom deduction rates to contractor invoices.
- Generate monthly reports for HMRC with all the information required.
- Ensure CIS deductions are always made.
- Automatically produce CIS payment and deduction statements for subcontractors.
- Where you work as a subcontractor, Pro Pal provides a detailed breakdown of CIS deductions from your own invoices.
