Contractor

Short Definition: A business or individual that pays subcontractors under CIS.

Long Definition: A contractor under CIS is any business or individual that hires subcontractors to carry out construction work. Contractors are responsible for verifying subcontractors with HMRC, deducting the correct tax, providing payment statements, and submitting monthly CIS returns. This applies to both construction companies and certain non-construction businesses with high construction spending.