CIS Tax Calculator
Calculate your CIS deduction instantly. Enter your gross payment, CIS rate, and materials cost to see exactly what you'll receive.
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Enter a gross payment amount above to see your CIS breakdown
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PriceWork splits labour and materials per line item, applies CIS at the correct rate, and shows the deduction breakdown on every invoice and PDF. Built for UK tradespeople.
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How CIS deductions work
The Construction Industry Scheme (CIS) requires contractors to deduct tax from subcontractor payments and pay it directly to HMRC. It's not a penalty — it's advance tax collection. You reclaim it through your Self Assessment or Company Tax Return.
CIS deduction rates
| Rate | Who it applies to | Example on £1,000 labour |
|---|---|---|
| 20% standard | Registered CIS subcontractors | £200 deducted, £800 paid |
| 30% higher | Not registered for CIS | £300 deducted, £700 paid |
| 0% gross | Gross payment status approved by HMRC | Full £1,000 paid, no deduction |
What CIS applies to
CIS applies to labour only. Materials — paint, timber, fixings, plant hire — are excluded. This is why splitting your invoice into labour and materials matters. The more you itemise materials, the lower your CIS deduction.
Example calculation
You invoice a contractor for £2,500 total: £1,800 labour, £700 materials. You're registered at 20%.
CIS deduction = £1,800 × 20% = £360
You receive = £2,500 − £360 = £2,140
The £360 is paid to HMRC and credited against your tax bill.
Does CIS include VAT?
No. CIS is calculated on the net amount before VAT. VAT is added separately after the CIS deduction is calculated. This calculator shows pre-VAT figures.