How CIS Works

If you are self-employed:
J&A Pay offers a solution to bona fide self-employed individuals, fully familiar with self-employment within the construction industry. However, we list a few reminders here. 

Gross or net of 20% (or 30%)? 
HMRC will inform us whether to deduct tax at 20% (in certain circumstances 30%) or to make payments without any deduction of tax.  

National Insurance: 
The self-employed are obliged to pay N.I. themselves. Nowadays, this is generally done by direct debit. Tax offices may provide mandates. J&A Pay does not deduct any N.I

Expenses:
These are dealt with at the year end either through a self-assessment return, or with the help of an accountant. Records of all business trips (mileage, nature, location etc) should be kept, together with all receipts and invoices for tools, business telephone calls, printing, postage, stationery, materials etc.

End of Year:
Self-employed individuals will have to reconcile their affairs and may well have a tax or national insurance liability at year end. Contact an accountant or speak to us in order to clarify this.