Online Signature Licitness for Construction Industry in United Kingdom

How to eSign a document: online signature licitness for Construction Industry in United Kingdom

[Music] the construction industry scheme or CIF scheme has been around a long time and it's a way really the tax man has got tax paid upfront by people in the construction industry and there are two sorts of people they need to register for the CI a scheme no born his subcontractors if you're a self-employed builder or you're a building company and you're paid by a building and contractor you need to register as a subcontractor you can do that in two ways either online using what's called the government gateway system or more commonly probably you can further see is helpline on a three hundred two hundred three two one give them your UTI member a national insurance number if you're a an individual self-employed person or if we completely give the complete registered number and the company's utr number and then and then you're registered you get a little letter from HMRC at some point to confirm this but you tell your contractor you're registered they go can go online with HMRC and verify you when they see you are registered as a subcontractor it means when they pay you your money they deduct 20 percent off your if you like your labor they don't need to feel anything from materials that they deduct anything from the v80 that did twenty percent for the labor and that's a credit against you when he can do your end of year taxes if you aren't registered and they're paying you for doing construction work they should did at thirty percent so it's in your interest to register if your turnover is more than thirty thousand pounds a year or thirty thousand put partner a director if you're a partnership or a company then you can register for the gross payment scheme which means then your contractor will pay you without deducting CI a scheme and that's better for your cash flow particularly useful if you've got subcontractors down below that you need to pay so that's that the second type of people person is a type of the second class of people are is contractors if you are paying subcontractors you need to register as a contractor the most common way this is done is when you register for pays you earn you take the box then yes I pay I am engaged in subcontractors and then you basically pay your subcontractors when you do your payroll and each month NEC is you've deducted your pay over to HMRC and you make a return telling hm I see what you've paid to your subcontractors each month and if you find you you know you you become a contractor after having already formed a pays you asking you again have to phone the CIA's help line up live three hundred two hundred three to 100 and explain doing our contractor as well as a an employer and they just update their system so that you you can then make subcontractors payments alongside your pays you weren't payments make the returns alongside your your in your pay to earn returns and that's it really