CIS Calculator UK
Use our CIS Calculator UK to quickly work out Construction Industry Scheme (CIS) deductions for subcontractors in the UK. Whether you are a contractor or subcontractor, this tool helps you calculate tax deductions, net pay, and gross payments in seconds.
Simply enter your invoice amount and CIS rate to get an instant breakdown — accurate, fast, and easy to use.
What is CIS in the UK?
The Construction Industry Scheme (CIS) is a tax deduction system for construction work in the UK.
Under CIS, contractors deduct money from subcontractors’ payments and send it directly to HMRC as advance tax.
This helps ensure tax compliance in the construction sector.
How CIS Deductions Work
CIS deductions are taken from subcontractor payments before they receive their money.
Standard deduction rates include:
- 20% – Registered subcontractors
- 30% – Unregistered subcontractors
- 0% – Gross payment status (no deduction)
How to Use the CIS Calculator
Using this UK CIS Calculator is simple:
- Enter your invoice amount
- Select your CIS deduction rate (20%, 30%, or 0%)
- The tool calculates:
- CIS deduction amount
- Net payment after deduction
- Gross vs net breakdown
How CIS is Calculated
1. Start with Gross Invoice
This is the total amount before any deductions.
2. Apply CIS Deduction Rate
CIS Deduction = Invoice Amount × CIS Rate
Example:
- Invoice = £1,000
- CIS rate = 20%
- Deduction = £200
3. Calculate Net Payment
Net Pay = Invoice Amount – CIS Deduction
Example:
- £1,000 – £200 = £800
CIS Deduction Rates Explained
- 20% Rate: For registered subcontractors with UTR
- 30% Rate: For subcontractors not registered with CIS
- 0% Rate: For subcontractors with gross payment status
Who Should Use This Tool?
This CIS Calculator UK is ideal for:
- Construction subcontractors
- Contractors hiring subcontractors
- Freelance tradespeople (electricians, plumbers, builders)
- Construction payroll managers
- Accountants handling CIS returns
Why CIS Matters
The CIS system ensures:
- Proper tax collection in construction work
- Reduced tax evasion
- Easier reporting to HMRC
- Better compliance for contractors and subcontractors
Common CIS Mistakes to Avoid
- Using wrong deduction rate
- Not registering for CIS
- Forgetting to account for VAT correctly
- Miscalculating net pay on invoices
A CIS calculator helps avoid these costly errors.
FAQs – CIS Calculator UK
What is CIS in the UK?
CIS stands for Construction Industry Scheme, a tax deduction system for construction work.
Who deducts CIS tax?
Contractors deduct CIS tax from subcontractor payments and send it to HMRC.
What is the CIS tax rate?
It is usually 20%, 30%, or 0%, depending on registration status.
Do I get CIS tax back?
Yes, if you’ve overpaid, you can reclaim it through your tax return.
Do I need to register for CIS?
Yes, subcontractors and contractors should register with HMRC for CIS.