20% — registered
The standard rate when you are registered for CIS and the contractor can verify you with HMRC.
CIS tax refunds · Luton & Birmingham
CIS tax refund accountant for construction subcontractors.
If contractors deduct 20% or 30% from your pay under the Construction Industry Scheme, you have probably paid more tax than you owe. Ola Accountancy prepares your Self Assessment, claims the overpayment back from HMRC and HMRC pays it straight into your bank — from £200 + VAT, in English or Romanian.
At a glance
Your CIS refund, claimed properly.
A fixed-fee service for subcontractors in Luton, Birmingham and across the UK.
Who it is for: self-employed subcontractors in construction (builders, electricians, plumbers, plasterers, labourers, scaffolders, decorators), subcontractors paid at the 30% rate because they were not registered, and limited companies with CIS deductions to offset.
Price: Self Assessment tax return with CIS refund claim £200 + VAT; CIS registration £100 + VAT. Returns with several income sources are quoted before work starts. All fees are quoted excluding VAT and confirmed in writing before any work starts. A first consultation is £100 + VAT.
Where: Ola Accountancy, 23A George Street, Luton LU1 2AF and 22-42 Washwood Heath Road, Saltley, Birmingham B8 1RB — and online for clients anywhere in the UK.
Languages: English and Romanian (vorbim românește), plus Hindi, Gujarati, Italian, Urdu and Punjabi across the team.
What is included
- Check of every CIS payment and deduction statement against your bank
- UTR and CIS registration with HMRC if you are not yet registered
- Allowable expenses claimed: tools, travel, vehicle, PPE, phone, insurance
- Self Assessment (SA100/SA103) prepared, explained and filed online
- Refund paid by HMRC directly into your bank account
- For limited companies: deductions offset through PAYE (EPS) and any balance reclaimed
- Support if HMRC asks questions about the claim
How CIS works
Why most subcontractors are owed a refund.
Under the Construction Industry Scheme, your contractor pays part of your money to HMRC before it reaches you. The deduction is an advance payment towards your tax and National Insurance, not the final bill.
30% — not registered
The higher rate if you are not registered or cannot be verified. Registration is £100 + VAT and usually pays for itself quickly.
0% — gross payment status
No deductions at all, for businesses that pass HMRC’s turnover, compliance and business tests. You pay your own tax through Self Assessment or corporation tax.
The deductions are taken from your labour only, not from materials, VAT or certain other costs you charge the contractor. The contractor must give you a payment and deduction statement within 14 days of the end of each tax month — keep every one.
Worked example
WhatsApp us on 0330 1331 886How the refund is calculated.
HMRC adds up your gross income, takes off allowable expenses, works out the Income Tax and Class 4 National Insurance due, and compares that with the CIS already deducted. The difference comes back to you.
| Gross CIS income for the year | £30,000 |
| CIS deducted at 20% | £6,000 |
| Allowable expenses (tools, van, fuel, phone, insurance) | £5,000 |
| Taxable profit | £25,000 |
| Income Tax (20% above the £12,570 personal allowance) | £2,486 |
| Class 4 National Insurance (6% above £12,570) | £746 |
| Tax and NI actually due | £3,232 |
| Refund due from HMRC | £2,768 |
Illustration only, using 2025/26 rates for England, Wales and Northern Ireland and a sole trader with no other income. Your figures depend on your income, expenses and other circumstances.
Documents
What we need from you.
Send everything by WhatsApp, email or our secure online form. Photos from your phone are fine.
- CIS payment and deduction statements from every contractor (or your contractors’ names and UTRs)
- Bank statements for the tax year (6 April to 5 April)
- Your UTR and National Insurance number — or we register you
- Receipts and invoices for expenses: tools, PPE, van or mileage, fuel, phone, insurance, training
- P60 or P45 if you also had employed work in the year
- Details of any other income: Universal Credit is not taxable, but rental income, dividends or foreign income must be reported
Timeline
From documents to money in the bank.
- 1Send your documents
Any time after 5 April. The sooner you send them, the sooner your refund is filed.
- 2We prepare and check
We reconcile statements with your bank, claim expenses and show you the calculation before filing.
- 3You approve, we file
Nothing goes to HMRC without your sign-off. We file online as your authorised agent.
- 4HMRC repays you
HMRC usually pays refunds within a few weeks of filing, straight into your bank account. It can take longer if HMRC checks the claim or during busy periods; we chase it for you.
Limited companies
CIS deductions for a limited company.
If you work through a limited company, CIS deductions are not refunded through Self Assessment. They are set off against the company’s PAYE, National Insurance and student loan liabilities through the Employer Payment Summary (EPS) each month. Any deductions left over at the end of the tax year are reclaimed from HMRC with a separate claim. We run the payroll, submit the EPS and make the year-end claim as part of our limited company packages.
Limited company accounts →FAQs
CIS refund questions, answered.
Who can claim a CIS tax refund?
Any self-employed subcontractor who has had CIS deductions taken from their pay and whose final Income Tax and Class 4 National Insurance for the year are less than the amount deducted. That is most subcontractors earning under about £50,000, because the 20% deduction ignores the £12,570 personal allowance and your business expenses. Limited companies offset deductions through PAYE instead.
How much is a typical CIS refund?
It depends on your income and expenses. A subcontractor on £30,000 gross with 20% deducted and £5,000 of expenses would, on 2025/26 rates, be due roughly £2,700. Someone deducted at 30% because they were not registered is usually owed considerably more. We calculate your exact figure before filing.
How long does a CIS refund take?
We can prepare your return within days of receiving your documents. Once filed, HMRC usually repays within a few weeks, by bank transfer; it can take longer if HMRC selects the claim for checks or in the busy period around January. Filing early in the tax year (from April) normally means a faster refund.
Can I claim CIS refunds for previous years?
Yes. You can usually go back up to four tax years. If you have never filed, we register you for Self Assessment, prepare each outstanding year and claim the refund for each one, dealing with any late-filing penalties and reasonable-excuse appeals where possible.
What if I do not have all my CIS statements?
Ask each contractor for copies — they must provide a statement within 14 days of the end of each tax month. If a contractor will not help, we can use your bank statements and the contractor’s details to evidence the deductions and, where necessary, ask HMRC to check its records.
How much does Ola Accountancy charge for a CIS refund?
A Self Assessment tax return including the CIS refund claim is £200 + VAT, fixed and confirmed in writing before we start. CIS registration is £100 + VAT if you need it. We do not take a percentage of your refund.
Can you help Romanian-speaking subcontractors?
Yes. Echipa noastră vorbește românește: explicăm cum funcționează CIS, ce documente ai nevoie și cât ai de recuperat, la birou în Luton sau Birmingham sau online. Many of our clients are Romanian tradespeople working in UK construction.
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Get started
WhatsApp 0330 1331 886Claim your CIS refund.
Send us your details and we will call you back within one working day. Or message us on WhatsApp with a photo of your CIS statements.
Sources: GOV.UK — What you must do as a CIS subcontractor (deduction rates; claiming back deductions through Self Assessment or the company payroll).
Get started
Book your consultation.
First consultation £100 + VAT. Tell us about your situation and we will explain exactly how we can help.