Top tips: taxman issues CIS repayment checklist

The Revenue has published ten tips to help companies get their construction industry scheme (CIS) repayment claims right first time.

The department suggests that taxpayers use the advice (below) as a checklist to ensure they have covered all aspects before sending a claim to HMRC at PAYE Employer Office, Room BP4009, Benton Park View, Newcastle upon Tyne NE98 1ZZ.

1. Ensure the company’s agent is authorised specifically for PAYE to act on its behalf for CIS repayments.
2. Double-check that the unique taxpayer reference and the company subcontractor’s name are correct on all documents.
3. Check that all the company’s payment and deduction statements that HMRC have requested to process the claim are sent and that they are for the correct period.
4. If the company was incorporated during the year, ensure that its claim for repayment is only for deductions taken from the company’s payments and not any for periods before incorporation.
5. Check that the CIS deductions taken from the company’s subcontractors are correct and have been reported correctly on the monthly returns.
6. Check that the company has no outstanding returns (CIS300) in its capacity as a contractor within CIS.
7. Ensure that form P35 or the final employer payment summary under real time information, showing CIS deductions taken from the company’s payments, has already been submitted.
8. Submit any information requested within the timescale specified by HMRC, such as following receipt of a “CIS suffered letter” and that you have included everything that HMRC has requested.
9. Where there are overpayments that do not relate to CIS, verify how these have arisen by providing supporting documentary evidence to HMRC along with the company’s claim for repayment.
10. Where the company has ceased trading, remember to send in all outstanding returns for the subcontractors.

Issue: 4414 / Categories: News , CIS , Business