Registering for Self Employment and CIS

My work in the building industry involves a mixture of short periods of work for an employer under Pay As You Earn and periods of self-employment within the same year. Is it necessary for me to register for self employment on a contract by contract basis?

1st August 2008

You will initially have to become registered for Self-Employment using form CWF1. HMRC will then open a self assessment taxpayers record for you and issue a 10 digit Unique Taxpayer Reference (UTR) .

You also need to register as a subcontractor for CIS (Construction Industry Scheme). From April 2007 there will be no registration cards issued. Instead you now have to register with the CIS helpline (call 0845 3667899) who will verify you on their records, and contractors who you work for will use the UTR number to verify you for the 20% deduction rate. If you fail to register for CIS, you will suffer 30% tax deductions from contractors.

There will be no need for you to re-register on a future occasion unless you notify HMRC that you have ceased self-employment on a permanent basis and finalised your SA affairs and now wish to re-start.

By Jo Nockels

Disclaimer: The information provided is based on current guidance (at date of publication) from HMRC and may be subject to change. Any advice shared here is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this information, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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