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Cis invoice template for Government

hello jason wright here from build accounting.com today i wanted to go through the domestic reverse charge uh flow chart so you know how do you know if you're a subcontractor and you're charging a contractor for your services how do you know whether or not to apply domestic charge i guess first of all i should um explain what domestic reverse charge is essentially all it means is that if you if you are that registered so if you're the subcontractor and you're that registered and you'd normally charge that on your invoices domestic reverse charge means that you don't charge any vac so if you have an invoice that's a hundred pound net normally you charge 20 percent of that which should be 20 quid that domestic reverse charge you're you're not gonna charge anything so that's domestic reverse charge and the vat element comes out to zero and all you charge your contractor would be a hundred pounds and on the invoice somewhere you'd have to state um reverse charge applies so you'd state that reverse charge applies and um the customer has to account to account i forget my handwriting customer to account for 20 pounds fat to hmr c okay that's what you're paying your invoice and so essentially you know does the supply fall within the scope of cis if it's a construction service that you're offering 99 of the time it's going to i'll cover that in another video what exactly constitutes a construction service uh is the supply standard or reduce rated again we've just discussed this are we charging vat on our invoice if we're not we don't have to worry about it is your customer that registered so if your customer is not very registered then you don't have to worry about it um are they registered for cis again so these are the questions that you have to ask your customer so anyone that you're dealing with you're gonna ask some questions three four and five uh end user basically means that is the work that you're doing for your customer or are they going to pass it on to someone else so in our case [Music] for example a company that i work for at the moment and builds mezzanine floors um and the mezzanine floors can either be for a contractor in which case these guys are not the end users or it could be for a big warehouse in which case these guys would be the end user and in that case we would just charge v80 on our invoice we wouldn't have to apply domestic reverse charge um so yeah i mean hopefully that that was all clear um any questions drop them in the comments below and i'll get back to you as soon as i can alright thanks for watching cheers bye