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CIS Returns

What is gross payment status and can I get it?

Answered by the TAG Accountancy team · Norwich, Norfolk

Quick Answer

Gross payment status means contractors pay you in full with no deduction, which is a substantial cash flow advantage. To qualify you must pass a business test, a…

Gross payment status means contractors pay you in full with no deduction, which is a substantial cash flow advantage. To qualify you must pass a business test, a turnover test and a compliance test — broadly, you need a genuine construction business, turnover above a minimum threshold, and a clean record of filing and paying on time.

HMRC reviews the status periodically and can withdraw it for compliance failures. If you are close to qualifying we will help you apply and, more importantly, help you keep it.

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