Guidance

Construction Industry Scheme: multiple contractor status

Find out how businesses can split into smaller sections to operate under the Construction Industry Scheme (CIS).

If you’re a business which operates as a Construction Industry Scheme (CIS) contractor you may prefer to split into smaller sections. You can then ask HM Revenue and Customs (HMRC) to treat each division as a separate contractor. HMRC call this ‘Multiple contractor status’.

If HMRC agree they’ll set up a CIS record for each division - who’ll all need to follow the rules for contractors.

Although treated as seperate contractors each division will stay part of the same business and share the same unique taxpayer reference it got when it registered for CIS.

How to apply for multiple contractor status

To get multiple contractor status you’ll need to write to HMRC before the start of the tax year. Include

  • details of which subcontractors will be in each division’s contractor scheme, for example, all subcontractors paid by the London office
  • a declaration that CIS payments are only paid to subcontractors in the groups you’ve shown

How to end multiple contractor status

You’ll keep multiple contractor status until you let HMRC know you no longer want it.

To end your multiple contractor status you’ll need to write to HMRC before the start of the tax year.

Published 21 November 2014