CIS tax refund records

To complete your CIS tax return you will need to know how much you have earned, the amount of tax you have paid, and the total you’ve spent on expenses during that tax year.

We have detailed below a checklist of the common documents needed to complete your CIS tax return accurately. Knowing what evidence to keep and for how long can help you claim back the highest legitimate tax refund and keep compliant with HMRC at the same time.

There’s quite a lot to think about and you can find out a bit more about CIS and tax returns in our CIS FAQs section.

CIS income and tax details

Knowing what you earned and how much tax you paid is the starting point for all CIS tax returns.

You can get your income and tax details from:

• Payslips or CIS statements from your contractor(s).
• P45 or P60 (if you had any PAYE employment).
• Bank statements.

It’s important to keep a record of all of your income. If you have had any PAYE employment, or received any benefits, these are normally included on your tax return as well.

This means that you should retain any P60 or P45 forms received from PAYE employment and any statements sent to you showing how much JSA or other benefits you received.

If you don’t enter all of your income and your tax return is investigated by HMRC you could owe tax and incur a penalty.

CIS tax return expenses

Your expenses as a CIS sub-contractor are very important to make sure you don’t overpay tax and will ensure you get back the maximum legitimate CIS refund.

Evidence of your expenses can come in different forms for example:

• Physical or digital receipts.
• Bank statements.
• A mileage log.
• MOT certificates.

Always try and remember to keep the receipts for all of your work related expenses. The more expenses you can claim, the less tax you have to pay. A good rule of thumb is to keep evidence of everything to do with your self employment.

How should I keep my records for my CIS tax return?

HMRC states that you should keep record for a minimum of 5 years after the 31 January submission deadline of the relevant tax year.

The tax office can make an enquiry into your tax return and if they do they will usually want to see evidence of the expenses claimed.

It is recommended to keep electronic versions of any receipts with scanned copies or photos acceptable as long as they show all of the necessary facts and figures.