Construction Industry Scheme (CIS) Accountants
Build on a solid foundation, with expert bookkeeping tailored to your needs.
Accounting for the self-employed in the construction industry comes with its own set of challenges and requirements. Here are some key steps and considerations for accounting in the construction industry as a self-employed individual:
- Business Structure: Decide on the most suitable business structure. Many self-employed individuals in the construction industry operate as sole traders, but you might also consider forming a limited company for liability protection and tax advantages.
- Business Bank Account: Open a separate business bank account to keep personal and business finances separate. This simplifies accounting and tax reporting.
- Income Tracking: Keep meticulous records of your income sources, which may include payments from clients, subcontracting work, or any other revenue streams.
- Expense Tracking: Maintain a record of all business-related expenses, such as materials, tools, equipment, fuel, vehicle maintenance, insurance, subcontractor payments, and permits.
- Receipts and Invoices: Keep detailed records of invoices sent to clients and receipts for expenses. This documentation is essential for tax purposes and for verifying deductions.
- Accounting Software: Consider using accounting software such as QuickBooks, Xero, or specialized construction accounting software to manage your finances, track income and expenses, and generate financial reports.
- Tax Obligations: Be aware of your tax responsibilities. In the UK, this includes paying income tax and possibly Value Added Tax (VAT) if your income exceeds the threshold. Consult with a tax professional or accountant to ensure you meet all tax requirements.
- Construction Industry Scheme (CIS): If you’re a subcontractor, you may need to register for the Construction Industry Scheme. Under CIS, your clients must deduct tax from your payments, and you’ll need to report these deductions to HM Revenue and Customs (HMRC).
- Insurance: Consider insurance, such as public liability insurance, to protect your business from potential claims or accidents on the construction site.
- Self-Assessment: As a self-employed individual, you’ll typically need to complete a Self-Assessment tax return. This is where you report your income and expenses and calculate the tax you owe. The deadline for this is usually January 31st for the previous tax year.
- Professional Advice: Given the complexity of accounting in the construction industry, it’s advisable to consult with an accountant or tax advisor who specializes in construction. They can help you optimize your financial management and tax strategies.
- Record Keeping: Maintain a well-organized filing system for all financial documents to make it easier to access information when needed, especially for potential tax audits.
Effective accounting is crucial for the financial health and compliance of your construction business. Staying informed about industry-specific regulations and tax requirements is essential, and professional guidance can be valuable to ensure you’re managing your finances correctly.
Why Choose Swan Books?
Swan Books brings over 16 years of trusted accounting experience in construction. We don’t just see numbers; we see local businesses thriving and communities growing. We have many accounting clients in the construction industry, and they often commend our friendly, professional, and approachable style. Beyond mere testimonials, our track record of success and our commitment to ensuring businesses flourish stands as our proud testament. Discover the Swan Books difference today.
There’s a reason we have nothing but 5 star reviews on Google.
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Lily Burford3 July 2024Amazing service. Really efficient, professional and friendly. I would highly recommend for anyone needing guidance with business finance.Trustindex verifies that the original source of the review is Google.Cara Johnston28 June 2024Lovely and personal and very understanding.Trustindex verifies that the original source of the review is Google.James Marvell27 June 2024Very helpful. ThanksTrustindex verifies that the original source of the review is Google.Lauren Millington25 June 2024I’ve been working with stacey for a few years now and recommend her to anyone who is looking for an accountant, she is so down to earth and answers absolutely any questions I have no matter how big or small!Trustindex verifies that the original source of the review is Google.Refine Design24 June 2024Stacey is a wonderful lady! She makes the mind boggling process of accounts an absolute breeze! She's professional and speedy at what she does! I'm so glad I found her!Trustindex verifies that the original source of the review is Google.Official SleepWelness28 May 2024So accepting, easy going, clear, transparent & easy to talk to. She takes the weight off your shouldersTrustindex verifies that the original source of the review is Google.Zoe Vango24 May 2024Stacey is the best in the business, always gives the best advice and is 100% there when you need her! XxTrustindex verifies that the original source of the review is Google.Susan Webb24 May 2024Wonderful service. Recommended to my friends.Trustindex verifies that the original source of the review is Google.Helen Clarke24 May 2024Stacey has been amazing to work with. She has been able to explain everything in a language I understand and is calm, consistent and always communicative. Stacey came highly recommended and I feel in the safest hands. Thank you Stacey and team Swan Brooks! 🙏Trustindex verifies that the original source of the review is Google.Jackie Kelly24 May 2024Excellent. Very knowledgeable and confident. Stacey has sorted our family business out with minimum fuss. A pleasure to deal with and highly recommended.
recommendsTrustindex verifies that the original source of the review is Facebook.Refine Design24 June 2024Stacey is a wonderful lady! She makes the mind boggling process of accounts an absolute breeze! She's professional and speedy at what she does! I'm so glad I found her!recommendsTrustindex verifies that the original source of the review is Facebook.Vicki Daws28 February 2024Stacey has been amazing with me, as a first time business owner without a clue how to do my accounts, she's been so patient and understanding helping steer me correctly, relieving so much stress and pressure! She genuinely cares and has belief in my business which helps me have belief too! I highly recommend.recommendsTrustindex verifies that the original source of the review is Facebook.Stevie-May Cole27 November 2023Stacey has been great from start to finish. She has explained everything helping me understand and put my mind at ease throughout the process. I highly recommend Swan Books for anyone looking for an efficient local accountant 🌟🌟🌟🌟🌟recommendsTrustindex verifies that the original source of the review is Facebook.Georgia Billie Anthony24 October 2023Amazing at putting your mind at ease and extremely patient ! Could not recommend stacey enough 5 ⭐️ all round xrecommendsTrustindex verifies that the original source of the review is Facebook.Shiralee Swan Photography LSWPP, LNPS2 August 2023I took the big step in 2020 to start my own business. Stacey handles the numbers side of things for me, she very friendly and super helpful, and she never makes me feel like I have a silly little question. I, 100% recommend StaceyrecommendsTrustindex verifies that the original source of the review is Facebook.Olivia Charles20 July 2023Stacey has been fantastic with my accounts. She went through everything and was very helpful with any questions I had. Brilliantly responsive and got everything together in no time at all. I would highly recommend her!recommendsTrustindex verifies that the original source of the review is Facebook.Stuart Wilson2 February 2023Stacey has been fantastic, she does all my bookkeeping and submits all my tax returns. She has given me advise and is always there to answer my questions and provide support. Stacey has given me one less thing to worry about so I can focus on with running my business. 100% recommend Stacey!recommendsTrustindex verifies that the original source of the review is Facebook.Ross Cook9 January 2023Friendly and extremely helpful. We had many questions about sole trading and Stacey was more than happy to help, even at 8pm in the evening!recommendsTrustindex verifies that the original source of the review is Facebook.Sharon Groves1 December 2022Stacey has been amazing in getting my books in order and submitting my tax returns. She has given invaluable advise and is always on hand to answer any questions and provide support. Stacey has been a god send and given me one less thing to worry about so I can get on with running my business. Thoroughly recommend Stacey!recommendsTrustindex verifies that the original source of the review is Facebook.Natalie Wooden24 November 2022Stacey was so friendly and eager to help me from the start. Nothing was a problem. We did everything step by step and everything was taken care of for me. I’m so glad I found you Stacey! Thank you for your help and professionalism.
Our Process
Initial Consultation
Understand your business, your challenges, and your aspirations.
Onboarding
Seamless integration with your existing systems, training provided if necessary.
Tailored Solutions
We propose a bookkeeping solution adapted to your unique needs.
Regular Check-ins
Periodic reviews to ensure your financials are on track and to address any concerns.
Year-End Finalisation
Ensure everything is aligned, compliant, and ready for HMRC submissions.
What Can a Sole Trader in the Construction Industry Expense?
Allowable expenses for a sole trader in the construction industry are business-related costs that can be deducted from your business income when calculating your taxable profit. Here are some common allowable expenses in the construction industry:
- Materials and Supplies: The cost of building materials, tools, equipment, and safety gear used in construction projects are fully deductible.
- Subcontractor Payments: Payments made to subcontractors or other tradespeople for work on your projects are allowable expenses.
- Wages and Salaries: If you employ staff, their salaries and associated costs, such as National Insurance and pension contributions, can be claimed.
- Vehicle Expenses: Costs related to your work vehicle, including fuel, insurance, maintenance, and the purchase of the vehicle itself, can be deducted. However, personal use expenses should be adjusted accordingly.
- Tools and Equipment: The cost of purchasing or hiring construction tools, machinery, and equipment is an allowable expense.
- Rent or Workspace Costs: If you rent a construction site or workspace, those rental costs are deductible.
- Insurance: Premiums for business insurance, including public liability insurance and employer’s liability insurance, are generally allowable expenses.
- Professional Fees: Fees paid to architects, surveyors, or engineers for professional services related to your projects are deductible.
- Safety Equipment: Costs for safety equipment, such as helmets, safety vests, and protective gear, can be claimed.
- Office Supplies: Expenses for office supplies, such as stationery, paper, and printer ink used for your business, are allowable.
- Uniforms and Workwear: The cost of uniforms, workwear, and protective clothing for you and your employees is typically deductible.
- Telephone and Internet: Costs for business-related phone and internet services can be claimed, but only the portion used for your business.
- Training and Professional Development: Expenses for training, courses, and certifications related to the construction industry are often deductible.
- Advertising and Marketing: Costs associated with advertising your construction services, creating a website, and running marketing campaigns can be deducted.
- Accounting and Bookkeeping Fees: Fees paid to a professional accountant or bookkeeper to help manage your financial records are allowable expenses.
It’s crucial to maintain detailed records and receipts for all these expenses and any others specific to your construction business. When completing your Self-Assessment tax return, you can deduct these allowable expenses from your total income to determine your taxable profit.
As qualified construction industry accountants, Swan Books can assist you with all of the above. Be sure to get in touch to find out how we can take the hassle out of accounting for CIS Contractors.
Swan Bookkeeping, owned by Stacey Hooper, has been an invaluable asset to our business, Pembroke & Bull. Stacey's attention to detail and expertise in bookkeeping has been instrumental in keeping my financial records accurate and up-to-date.
Stacey's commitment to providing exceptional customer service is evident in the way she communicates with her clients. She always takes the time to explain any questions or concerns I may have, and I never feel rushed or ignored. Her responsiveness and willingness to go the extra mile have been greatly appreciated.
Overall, I would highly recommend Swan Bookkeeping and Stacey Hooper to anyone in need of a reliable, professional bookkeeping service. I am grateful for her hard work and dedication.
James Pembroke
Director - Pembroke & Bull
Our Pricing
At Swan Books, we tailor our pricing to fit your business’s specific needs. Our bookkeeping services ensure that your business finances stay up-to-date using leading cloud accounting software like Quickbooks or Xero. Whether you prefer monthly or quarterly updates, we keep you informed about your business profits consistently. We cover all areas of bookkeeping, ensuring thoroughness and precision.
The pricing for our bookkeeping services varies based on the volume of transactions each month. For a customised quote and a detailed breakdown, please contact us.
Registration
£
45
00
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Registration of you and your business self employment with HMRC.
Self Assessment Tax Returns
£
250
00
Prices From -
Preparation of tax calculation, preparation and submission to HMRC and financial statements
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Prices may vary based on your business records. Please get in contact for a free consultation.
Bookkeeping
varies
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Keeping your business finances up to date with cloud accounting software Quickbooks or Xero. Monthly or Quarterly updates providing you updates of business profits. All areas of bookkeeping undertaken.
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Prices vary permitting to volume of transactions each month.
Books Clean Up
varies
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If your accounts are in need of a tidy up and you want to upgrade your internal procedures for easier processes, you have come to the right place!
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Prices vary client by client, please get in touch to discuss further.
VAT Returns
£
175
00
Prices From -
Quarterly VAT returns prepared and submitted with Making Tax Digital compliant software with all deadlines met.
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Prices start from £175.00 per quarter
Power Hour
£
65
00
Prices From -
One to one power hour discussing your business accounting and how to make improvements to make your finances run more efficiently within the cloud software of your business alongside training on how to get the best of your software.
Payroll
£
20
00
Per Payroll -
All aspects of payroll processes ensuring all tasks are carried out by all deadlines and RTI compliant.
- Weekly or monthly payrolls
- Pension administration completed
- RTI compliant with HMRC
- Payroll year end service and reporting