What work does CIS cover? CIS applies to the majority of construction work on buildings, structures, roads and bridges.
What work does CIS cover?
Construction work for the purposes of CIS includes the following:
- Site preparation, e.g laying foundations
- Building work
- Alterations, repairs and decorating
- Installing systems for heating, lighting, power, water and ventilation
- Cleaning the inside of buildings at the end of the construction work
What work does CIS not cover?
The following list are work types which are specifically exempt from CIS:
- Surveying and architecture
- Scaffolding hire (with no labour)
- Carpet fitting
- Making materials for use in construction
- Delivery of materials
- Work on construction sites which is obviously not construction for example running a canteen
Note: Where exempt work is being carried out in conjunction with work which is covered by CIS, then often the exemption is lost. All of the work would be covered by CIS.
For example, an architect who is also involved with the actual building work would invoice all of the work under CIS. There would be no exemptions.
A private household which requests work to be done on their own home is not covered by CIS. Private households aren’t businesses and therefore they aren’t contractors. If they aren’t contractors then the work is not covered by CIS.
For more information on this see our blog register as a CIS contractor, which explains who is a contractor.
What work does CIS cover – examples
There are many work types which could be covered by CIS. Below we go through some of the more popular construction work types and the CIS treatment.
Air-conditioning systems: Installation of air-conditioning systems are covered by CIS.
Architects: This is specifically excluded from CIS.
Burglar alarms: Installation of security systems such as burglar alarms and CCTV are excluded from CIS.
Carpet fitting: The fitting of carpets and other floor types such as vinyl is excluded from CIS if the work is carried out in isolation.
Painting or decorating: The painting or decorating of any building or structure both inside and out is covered by CIS.
Building extensions: This work is covered by CIS.
Bathroom or kitchen fitting: This is classified as a finishing operation which would bring a construction project to completion and is therefore covered by CIS. Please note that this only applies where a contractor requests the work to be carried out. Mr Smith purchasing a new kitchen for his home from his local kitchen retailer is not covered by CIS.
Plant hire: If the hired plant comes with an operator then it is covered by CIS. If the payment is purely for the hire of plant only without an operator then it is not covered by CIS.
Scaffolding: Erecting scaffolding is covered by CIS.
Solar panels: The install of solar panels is covered by CIS. However as with bathroom and kitchen fitting if the contract is directly with the private householder it is not covered by CIS.
For more specific information on particular construction work type please see the following HMRC link. https://www.gov.uk/hmrc-internal-manuals/construction-industry-scheme-reform/cisr14330
At Patterson Hall Chartered Accountants we are experts within all aspects of the Construction Industry Scheme. We have produced an ultimate guide to all things CIS with many user friendly helpsheets and examples. Take a look at our CIS Accountants guide.
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