CIS Payment & Deduction Statement

How to use the CIS Payment & Deduction Statement

1. Enter the contractor and subcontractor details.
2. Enter the gross payment excluding VAT and only qualifying costs paid directly by the subcontractor.
3. Select the HMRC-verified rate and tax month; higher-rate deductions require the unmatched verification number.
4. Generate a CIS Payment and Deduction Statement as a professional PDF.

Why use this tool

• Blocks generation until core HMRC statement fields are completed.
• Calculates the entered rate after the entered qualifying-cost deduction.
• Gives the subcontractor a clear record of what was deducted and paid, which they need for their tax return.

Where a CIS deduction is made, HMRC requires the contractor to give the subcontractor a Payment and Deduction Statement within 14 days after the end of the tax month. The contractor must use the verified rate, exclude VAT and deduct only qualifying directly paid costs supported by the facts. This tool validates the core entered fields and arithmetic but does not verify the subcontractor, submit the monthly return or decide whether a cost qualifies.

Part of Builder Tools Utilities — free construction tools for UK tradespeople.