MJH Accountancy provides accounting services to a range of construction clients. From self-employed construction workers to limited company sub-contractors, main-contractors and professional advisers and consultants we provide a full range of accounting services to construction industry clients. Our team has lots of construction expertise and we offer services from £100 per month. Here are some commonly asked questions:
Should I use a Limited Company?
We can advise about the most tax efficient way to set yourself up for providing construction services. It will generally come down to your risk exposure and how much you expect to earn. There are tax advantages such as entrepreneurs relief to incorporating your business.
Does IR35 apply to the construction industry?
IR35 is government legislation aimed at stopping contract and freelance workers from paying reduced tax by providing their services through a limited company. The key here for contractors is to agree on terms and conditions with the client in advance of starting your engagement that place you outside of IR35. Click here for our guide on IR35.
Do I need to register for VAT?
You will be required to register for VAT if your turnover is over a certain level. The advantage to registering for VAT is that you can reclaim input VAT on purchases which will save your business money. Charging VAT on your sales may increase costs for your customer depending if they are VAT registered. See our guide to VAT for more info. We will be happy to discuss your suitability to registering for VAT.
How does CIS affect my business?
HMRC requires that contractors deduct money from a subcontractors payments and pay it across to HMRC known as the construction industry scheme. Contractors are required to register. Subcontractors are not required to, however their deductions may be at a higher rate if they do not register. See our guide to Construction Industry Scheme for more info.
Accounting Services we provide:
We aim to make running your construction business service as hassle-free as possible. Detailed services we provide for the construction industry include:
- Setting up a Limited Company
- Preparation of Annual Accounts
- Submission of Accounts with Companies House
- Dividend and Corporation Tax Calculations
- VAT Calculations and Returns
- Payroll Services
- Personal Tax Returns