Welcome to the CIS (Construction Industry Scheme) Calculator!
This powerful tool allows you to quickly and accurately calculate payments for subcontractors in the construction industry, taking into account tax deductions and various payment scenarios.
Whether you need to determine the net payment for a given gross amount, or vice versa, this calculator provides you with instant results.
By specifying payment type (Gross or Net) and subcontractor registration status with HMRC, you can effortlessly compute both net and gross payments, ensuring accurate financial transactions that comply with the CIS regulations.
Net to Gross Cis Calculator
Take the guesswork out of your calculations and streamline your payment processes with the CIS Calculator.
How to calculate cis from net amount?
To calculate the CIS deduction from a net amount, you need to follow these steps:
- Determine the Gross Amount: The gross amount is the total payment including the CIS deduction. You’ll need to know the applicable CIS deduction rate for the subcontractor you’re dealing with. The standard deduction rates are 20% for registered subcontractors and 30% for unregistered subcontractors. Please check the latest rates and regulations from the UK government website or a reliable source.
- Calculate the Deduction: Apply the appropriate CIS deduction rate to the gross amount to calculate the deduction amount. For example, if the gross amount is £1,000 and the CIS deduction rate is 20%, the deduction would be £200 (£1,000 * 0.20).
- Calculate the Net Amount: Subtract the deduction amount from the gross amount to get the net amount. Using the example above, the net amount after deduction would be £800 (£1,000 – £200).
Please keep in mind that tax regulations can change, and it’s important to verify the current rates and procedures from official sources such as the UK government’s HM Revenue & Customs (HMRC) website or consult a qualified tax professional to ensure accurate calculations and compliance with the latest CIS rules.