CIS invoice template
An invoice for subcontractors working under the UK Construction Industry Scheme. Mark each line as labour or materials and the deduction is worked out for you.
Your invoices
Each invoice you download is listed here, so you can mark it paid, reuse it for next month or fix a typo. The list is kept in this browser only.
How the deduction is worked out
Under the Construction Industry Scheme, a contractor holds back part of what they pay a subcontractor and sends it to HMRC towards the subcontractor’s tax. The invoice should make it easy for the contractor to see three figures:
- the labour charge, which the deduction is taken from
- the cost of materials, which is paid in full
- the amount due after the deduction
The template shows a total for the work, then the CIS deduction, then the amount the contractor should pay you.
Which rate to use
The template starts at 20%, the usual rate for subcontractors registered with HMRC for CIS. Subcontractors who are not registered normally have 30% deducted, and those with gross payment status have nothing deducted. Type the rate that applies to you in the “CIS rate %” box.
Your contractor confirms your rate with HMRC, so use the rate they tell you. For the current rules see GOV.UK’s guide for CIS subcontractors. This page is general information, not tax advice.
VAT and the reverse charge
If you are VAT registered, tick “Add tax to this invoice”. When you invoice another VAT-registered construction business that is not the end user, the domestic reverse charge usually applies: you do not charge the VAT, and your customer accounts for it instead. Tick “VAT domestic reverse charge applies” and the invoice will say so and show the amount of VAT the customer must account for.
If you are not VAT registered, leave tax switched off.
What else to include
- your name or business name exactly as registered with HMRC
- your Unique Taxpayer Reference (UTR)
- the site address and the dates or week the invoice covers
- your bank details
Questions
Is the CIS deduction taken from materials?
No. The contractor makes the deduction from the labour part of your invoice only. That is why each line here is marked as labour or materials.
Is CIS calculated before or after VAT?
Before. The deduction is worked out on the labour amount excluding VAT.
Where do I put my UTR?
Add it to the notes, or after your address in the Your business section. Your contractor needs it to verify you with HMRC.