Payroll, CIS & VAT Services
Payroll Services
In light of the PAYE Real Time Information (RTI) scheme introduced in April 2013, Employers are now under immense pressure to report payroll information electronically to HM Revenue & Customs (HMRC) each time they pay their employees as opposed to an annual return.
In practice, this means employers will need to put all a lot of things in place to ensure they meet all the legislation and statutory requirements which include having RTI-compliant software to report payroll information to HMRC or make arrangements to use an external provider such as a payroll bureau or tax adviser to act on their behalf.
Not only will HM Revenue and Customs (HMRC) impose severe penalties for non-compliance with the new legislation, failure to operate the RTI properly could also result in employees being taxed wrongly as well as under or over payment throughout the year.
Our dedicated and experienced payroll accountants can help take the pain out of your payroll problems, ensuring that your business remains compliant with the latest HM Revenue's (HMRC) rules and regulations so you don't have to.
Our low-cost tailored Payroll service includes:
In practice, this means employers will need to put all a lot of things in place to ensure they meet all the legislation and statutory requirements which include having RTI-compliant software to report payroll information to HMRC or make arrangements to use an external provider such as a payroll bureau or tax adviser to act on their behalf.
Not only will HM Revenue and Customs (HMRC) impose severe penalties for non-compliance with the new legislation, failure to operate the RTI properly could also result in employees being taxed wrongly as well as under or over payment throughout the year.
Our dedicated and experienced payroll accountants can help take the pain out of your payroll problems, ensuring that your business remains compliant with the latest HM Revenue's (HMRC) rules and regulations so you don't have to.
Our low-cost tailored Payroll service includes:
- PAYE scheme registration with HMRC (If required)
- Weekly / monthly payslips provided electronically or in hard copy for your employees
- Real Time Information (RTI) Returns submission to HMRC including FPS/EPS
- Advice on PAYE and National Insurance liabilities, Student loans, due dates and how to make payment
- Administration of starters and leavers (e.g. issuing P45's, P46's [Cars])
- Processing of statutory payments (sick pay, maternity and paternity pay, etc)
- Online submission of year end returns to HMRC (P60's, P14, P35's)
- *File transfer and data export
- Administration of Auto Enrolment Pension Scheme
- Unlimited telephone and email payroll support and advice throughout the year
payroll processing fees
Initial Setup charge (one off charge) |
£50 |
Monthly Payroll run per employee |
£15 |
Year End Runs / P60 Forms per employee |
£15 |
Processing starters and leavers |
£15 |
MONTHLY PAYROLL FEES
Adding each employee at setup will incur an initial standard setup charge of £50 and £15 monthly payroll run thereafter.
Please contact us for a quote
For new employers who are not already on the PAYE Scheme, there is a registration and setup charge of £100 (One off charge)
*The above rates are applicable for a full payroll service with the features shown above. P11Ds costs, Pension auto enrolment, BACS payments to employees are not included!
Adding each employee at setup will incur an initial standard setup charge of £50 and £15 monthly payroll run thereafter.
Please contact us for a quote
For new employers who are not already on the PAYE Scheme, there is a registration and setup charge of £100 (One off charge)
*The above rates are applicable for a full payroll service with the features shown above. P11Ds costs, Pension auto enrolment, BACS payments to employees are not included!
Construction Industry Scheme (CIS)
Introduction to the Construction Industry Scheme
The Construction Industry Scheme (CIS) is a UK tax system that affects contractors and subcontractors working within the construction industry.
The scheme covers how contractors deal with payments to subcontractors for all construction work to buildings, including site preparation, decorating and refurbishment carried out in the UK.
The Scheme does not apply to construction work carried on outside the UK. However, a business based outside the UK is within the scheme if it is carrying out construction work inside the UK.
The Construction Industry Scheme (CIS) requires the contractors to deduct and withhold money from a subcontractor's payments, which is then passed to HM Revenue and Customs (HMRC) as advance payments towards the subcontractor's tax and and National Insurance contributions.
Registering for the CIS Scheme
All Contractors, whether they are a company or self employed, must register with HMRC for the Construction Industry Scheme (CIS). Subcontractors don't have to register, but deductions are taken from their payments at a higher rate if they're not registered.
Under CIS, a contractor must deduct 20% from your payments and pass it to HM Revenue and Customs (HMRC). If you do not register for the scheme, contractors must deduct 30% from your payments instead.
The scheme also does not apply to employees. For a contract to be within the scheme, It must not be 'a contract of employment'. This means that the scheme applies to workers who are self employed under the terms of the contract, and who are not employees subject to Pay As You Earn (PAYE).
Gross Payment Status
Subcontractors who do not which for their contractors to deduct any amounts from their payments, can choose to register for gross payments status after certain qualifying conditions have been met. The subcontractor will be then be responsible for paying all their tax and National insurance at the end of the tax year.
Eligibility to register for Gross Payment Status
Subcontractors needs to satisfy the following tests to be able to register for gross payment.
To qualify you must show HMRC that your Business passes some tests:
HMRC will look at your turnover for the last 12 months. Ignoring VAT and the cost of materials, your turnover must be at least:
If you have gross payment status, HM Revenue and Customs (HMRC) will review your business every year, to decide if you can keep your status.You must be on time with your tax returns and payments to keep your gross payment status.
Our dedicated and experienced team of CIS accountants can help you keep your CIS affairs up to date, ensuring that your business remains compliant with the latest HM Revenue's (HMRC) rules and regulations so you don't have to.
CIS Limited Company Contractors
Contractors are required to inform HMRC of the CIS tax deductions they make to subcontractors by filing a monthly CIS tax returns to HMRC before the 19th of each month.
We can assist by:
CIS Self Employed/Sole trader Subcontractors
As a CIS (sole trader) subcontractor, you need to complete self assessment tax returns to inform HMRC of your earnings, expenditure, and the amount of CIS tax deducted by your contractor every year before 31 January following the end of the tax year. If you’re due a tax refund, HMRC will pay the money back.
We can assist by:
The Construction Industry Scheme (CIS) is a UK tax system that affects contractors and subcontractors working within the construction industry.
The scheme covers how contractors deal with payments to subcontractors for all construction work to buildings, including site preparation, decorating and refurbishment carried out in the UK.
The Scheme does not apply to construction work carried on outside the UK. However, a business based outside the UK is within the scheme if it is carrying out construction work inside the UK.
The Construction Industry Scheme (CIS) requires the contractors to deduct and withhold money from a subcontractor's payments, which is then passed to HM Revenue and Customs (HMRC) as advance payments towards the subcontractor's tax and and National Insurance contributions.
Registering for the CIS Scheme
All Contractors, whether they are a company or self employed, must register with HMRC for the Construction Industry Scheme (CIS). Subcontractors don't have to register, but deductions are taken from their payments at a higher rate if they're not registered.
Under CIS, a contractor must deduct 20% from your payments and pass it to HM Revenue and Customs (HMRC). If you do not register for the scheme, contractors must deduct 30% from your payments instead.
The scheme also does not apply to employees. For a contract to be within the scheme, It must not be 'a contract of employment'. This means that the scheme applies to workers who are self employed under the terms of the contract, and who are not employees subject to Pay As You Earn (PAYE).
Gross Payment Status
Subcontractors who do not which for their contractors to deduct any amounts from their payments, can choose to register for gross payments status after certain qualifying conditions have been met. The subcontractor will be then be responsible for paying all their tax and National insurance at the end of the tax year.
Eligibility to register for Gross Payment Status
Subcontractors needs to satisfy the following tests to be able to register for gross payment.
To qualify you must show HMRC that your Business passes some tests:
- you’ve paid your tax and National Insurance on time in the past
- your business does construction work (or provides labour for it) in the UK
- your business is run through a bank account
HMRC will look at your turnover for the last 12 months. Ignoring VAT and the cost of materials, your turnover must be at least:
- £30,000 if you’re a sole trader
- £30,000 for each partner in a partnership, or at least £100,000 for the whole partnership
- £30,000 for each director of a company, or at least £100,000 for the whole company
If you have gross payment status, HM Revenue and Customs (HMRC) will review your business every year, to decide if you can keep your status.You must be on time with your tax returns and payments to keep your gross payment status.
Our dedicated and experienced team of CIS accountants can help you keep your CIS affairs up to date, ensuring that your business remains compliant with the latest HM Revenue's (HMRC) rules and regulations so you don't have to.
CIS Limited Company Contractors
Contractors are required to inform HMRC of the CIS tax deductions they make to subcontractors by filing a monthly CIS tax returns to HMRC before the 19th of each month.
We can assist by:
- Forming your Limited company with Companies House (if required)
- *Registering you as a CIS Contractor with HMRC;
- Verifying the status of your subcontractors with HMRC;
- Processing monthly payment and deduction statements for your subcontractors;
- Completing and online submission of your monthly CIS300 returns to HMRC;
- Paying CIS deductions made from your subcontractors to HMRC
- Sending monthly automated email reminders when your CIS returns are due
- Corresponding with HMRC on your behalf;
- Providing unlimited ongoing advice and support on CIS issues throughout the year
- We can also assist you with bookkeeping, VAT returns, annual accounts, payroll, company tax returns and other compliance requirements.
CIS Self Employed/Sole trader Subcontractors
As a CIS (sole trader) subcontractor, you need to complete self assessment tax returns to inform HMRC of your earnings, expenditure, and the amount of CIS tax deducted by your contractor every year before 31 January following the end of the tax year. If you’re due a tax refund, HMRC will pay the money back.
We can assist by:
- Registering you as a CIS subcontractor with HMRC
- Verifying you with HMRC on behalf of your contractor
- Helping you with the application for Gross payment status (if eligible)
- Preparing your annual CIS accounts
- Submitting self assessment tax returns and calculating your tax liability
- Processing your tax refund(s) where applicable
- Liaising with HMRC on your behalf and tax investigations
- Providing unlimited ongoing advice and support on CIS issues throughout the year
Vat Return Services
Many businesses are required to register for VAT and submit regular VAT returns to HM Revenue & Customs (HMRC) every quarter. You must submit a VAT Return even if you have no VAT to pay or reclaim.
VAT is currently levied at three different rates in the UK. These are:
You must register for VAT if:
Warning! Late registration could result in a penalty, and you must pay what you owe from when you should have registered.
It is now mandatory for the majority of businesses to complete and submit their VAT Returns online. See HM Revenue & Customs website for exceptions.
Understanding the Value-Added-Tax (VAT) system is complex, as well as completing and submitting VAT Returns and can often attract hefty tax penalties if careful planning is not taken beforehand.
VAT Penalties See www.gov.uk/vat-returns/surcharges-and-penalties
Here at MZA & CO. Accountants we have helped many clients at cost effective prices to comply with all their VAT obligations and minimise their VAT liabilities.
We can assist by:
VAT is currently levied at three different rates in the UK. These are:
- standard rate of 20%
- reduced rate of 5%
- zero rate of 0%.
You must register for VAT if:
- your VAT taxable turnover is more than £85,000 (the ‘threshold’) in a 12 month period ( from 1 April 2017)
- you expect to go over the threshold in a single 30 day period
- you only sell goods or services that are exempt from VAT or ‘out of scope’ but you buy goods for more than £85,000 from EU VAT-registered suppliers to use in your business.
- you take over a business that’s already registered.
- You can still register voluntarily even if your business turnover is below £85,000. You must pay HMRC any VAT you owe from the date they register you.
- Registration ‘exceptions’ are possible if your taxable turnover goes over the threshold temporarily.
Warning! Late registration could result in a penalty, and you must pay what you owe from when you should have registered.
It is now mandatory for the majority of businesses to complete and submit their VAT Returns online. See HM Revenue & Customs website for exceptions.
Understanding the Value-Added-Tax (VAT) system is complex, as well as completing and submitting VAT Returns and can often attract hefty tax penalties if careful planning is not taken beforehand.
VAT Penalties See www.gov.uk/vat-returns/surcharges-and-penalties
Here at MZA & CO. Accountants we have helped many clients at cost effective prices to comply with all their VAT obligations and minimise their VAT liabilities.
We can assist by:
- Registering and de-registering for VAT online (if required)
- Advising on the most appropriate VAT scheme for your business (cash, flat rate or annual)
- Acting as your agent in preparing and submitting your VAT returns online to HMRC on-time from your accounting records
- Dealing with any HMRC enquiries on your behalf
- HMRC VAT investigations.
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