A subcontractor is someone who works for a contractor, or who works on individual projects.
The term often refers to labourers working in the construction industry.
Subcontractors are self-employed, unlike employees. You set your rates of pay, you decide when you work and you choose the projects that you work on.
What’s a CIS subcontractor?
This refers to someone who is part of the Construction Industry Scheme. The scheme was created by HMRC as a way to tax construction workers properly.
One of the benefits of the scheme is that when you’re registered, you only have 20% deducted from your salary instead of 30%. You’re then often entitled to a rebate from the start of the new tax year.
How do I register for CIS?
You can register via HMRC.
Click here to read more about the Construction Industry Scheme.
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