CIS payroll software for UK contractors
Nxsys runs the Construction Industry Scheme alongside your PAYE payroll. Verify subcontractors with HMRC, deduct CIS at the right rate, file your monthly CIS return and send payment and deduction statements, from the same system you use to pay your staff.
What is the Construction Industry Scheme?
Under CIS, contractors deduct money from subcontractors’ payments and pass it to HMRC as advance payments towards the subcontractor’s tax and National Insurance. You must verify each subcontractor, apply the rate HMRC gives you, file a monthly return and give each subcontractor a statement.
0%
For subcontractors HMRC has approved to be paid gross.
20%
For subcontractors registered for CIS with HMRC.
30%
For subcontractors who are not registered or cannot be verified.
HMRC gives you the rate when you verify a subcontractor. Nxsys stores it and applies it to the labour part of every payment.
Everything you need to run CIS
Nxsys handles CIS from the first verification to the monthly return.
Subcontractor verification
Verify subcontractors with HMRC before you pay them.
- Online verification with HMRC
- Verification reference and deduction rate stored
- Rate history kept for every subcontractor
CIS deductions
Deduct the right amount every time.
- Deductions at 0%, 20% or 30%
- Deductions worked out on labour, not materials
- CIS deducted shown on every payment
Monthly returns and statements
Stay on time with HMRC and your subcontractors.
- Monthly CIS return filed with HMRC
- Payment and deduction statements for every subcontractor
- Reports of CIS deducted by subcontractor and by month
Payroll and CIS together
One system for employees and subcontractors.
- PAYE payroll and RTI for your employees
- CIS payments for your subcontractors in the same account
- One login, one set of reports and one plan
Nxsys covers UK payroll from RTI to auto-enrolment, with CIS included in the same plan.
How CIS works in Nxsys
Verify
Add your subcontractor and Nxsys verifies them with HMRC to get their deduction rate.
Pay
Record the payment. Nxsys works out the CIS deduction on the labour part and pays the net amount.
File and send
Nxsys files your monthly CIS return and sends each subcontractor a payment and deduction statement.
Who does Nxsys work with?
Nxsys is built on trusted platforms and connects with pension providers, ID checks, compliance partners and the HR tools your team already uses.
What businesses say about Nxsys
★★★★★ Rated 5.0 on Capterra
“A really smooth onboarding experience and it’s been hassle free since then.”
“Nxsys is very user friendly and easy to navigate. Queries are dealt with quickly from the support team.”
“The candidate onboarding via the app is a real asset to our business.”
01Who needs to register for CIS?
Contractors who pay subcontractors for construction work must register for CIS. Businesses outside construction may also need to register if they spend more than £3 million on construction work in 12 months.
02What are the CIS deduction rates?
Subcontractors are paid at 0% if they have gross payment status, 20% if they are registered for CIS, and 30% if they are not registered or cannot be verified.
03When is the CIS return due?
Your monthly CIS return is due by the 19th of each month, covering payments made in the tax month that ended on the 5th.
04What is the penalty for a late CIS return?
HMRC charges a penalty that starts at £100 and increases the longer the return is late. Nxsys files your return automatically so you stay on time.
05Can I run payroll and CIS in the same system?
Yes. Nxsys runs PAYE payroll for your employees and CIS for your subcontractors in one account.
06Is CIS included in the price?
Yes. CIS is included in the £2.00 per employee price, with no extra module to buy.
Run CIS and payroll with Nxsys
Verification, deductions, monthly returns and statements, alongside your payroll. £2.00 per employee, every feature included.
