Once you activate the Sage 50 CIS v2 module, it's quick and easy to create new subcontractor records. Let's get started.

TIP: If you have an existing supplier record for your subcontractor, you can simply add the CIS details to the record. 

1. Click Subcontractors then click New.
   

    

2. In the A/C box, type the account reference then enter any company details you have.

3. Click CIS, then click Add CIS subcontractor details and enter the CIS details for the subcontractor.

   
   

   What details do I enter?

   Business type

   Business type	Click the subcontractor's type of business: Company Partnership Sole trader Trust This determines which other values you must enter on the record.
   Partnership name	If the Business type is set to Partnership, enter the partnership name.
   Partnership UTR	If the Business type is set to Partnership, enter the partnership's Unique Tax Reference (UTR). This is provided by HM Revenue & Customs (HMRC). It was previously shown on CIS4, CIS5 and CIS6 documentation.

    

   Subcontractor Details

    

   Trading name	Enter the subcontractor's trading name. If you complete the First name or initial, Second name and Surname boxes, you can leave this blank.
   Legal name	Enter the legal name of the subcontractor's business. This is the name the subcontractor used to register with Companies House as a limited company, or their trading name.
   Use the legal name in reports	To show the subcontractor's legal name on reports, select this check box.
   First name or initial	Enter the subcontractor's first name or initial. If you enter a trading name, you can leave this blank.
   Second name	If the subcontractor uses a second name or middle name, enter it here. If you enter a trading name, you can leave this blank.
   Surname	Enter the subcontractor's surname. If you enter a trading name, you can leave this blank.

    

   References

    

   UTR or Partner UTR	Enter the subcontractor's UTR. This is provided by HMRC and was previously shown on CIS4, CIS5 and CIS6 documentation.
   NINO	Enter the subcontractor's National Insurance number (NINO) here. If the number is temporary, or not known, leave this blank.  TIP:The NINO must be valid. For information about the required format, please refer to the HMRC website at http://www.hmrc.gov.uk/manuals/nimmanual/nim39110.htm
   Company reg. no	If the Business type is set to Company or Trust, and if the subcontractor is registered as a limited company with Companies House, enter their company registration number.

    

   Verification Status

    

   Status	This shows whether the subcontractor is verified with HMRC. It initially shows Pending verification. If you verify the subcontractor's details using the Verify Now option, this automatically changes to Verified with HMRC. If you manually verified the subcontractor, click the Status arrow, then click Verified with HMRC. It may not be necessary to verify certain subcontractors, in which case you can click Not required. If you choose Not required you must complete the Pre-2007 information details. For more information, please refer to HMRC.
   Verification number	If you use the Verify Now option to verify the subcontractor, the verification number supplied by HMRC appears here. If you manually verified the subcontractor, enter the number you were given.
   Last verified	This is the date that the subcontractor was last verified with HMRC. If you use Verify Now, this box updates automatically.
   Verify Now	To verify your subcontractor with HMRC online, click Verify Now.
   Tax Treatment	This shows the tax rate applied to the subcontractor's payments. If you use Verify Now, this box updates automatically with the appropriate rate from HMRC. If you manually verified the subcontractor, to enter and edit the rate, click Tax Treatment.

    

   Payment Details

    

   Payment frequency	To record how frequently you pay your subcontractors, click the Payment frequency arrow, then click Monthly or Weekly.
   Agreement to send monthly statements by email	If the subcontractor has agreed to receive their monthly deductions statement by email, select this check box. Click Details, then in Email 1 enter the subcontractor's email address.
   Agreement to pay a third party	If your subcontractor has agreed to be paid via a third party, select this check box. Enter the third party supplier account reference, or click the arrow then double-click the supplier. If the third party isn't in the supplier list, you must create a new supplier record.

    

   Pre-2007 Information

    

   If you worked with this subcontractor before the 2007 CIS reform, to add their historical details, click Record pre-2007 information. You must record pre-2007 information on subcontractor records which have a verification status of Not required.

    

   CIS type	Depending upon the type of tax certification held by the subcontractor before April 2007, click the arrow, then click CIS4, CIS5, CIS6 or Exempt.
   Reg. Card/Cert ?	Depending upon the type of card or certificate held by the subcontractor before April 2007, click the arrow, then click CIS 4(P), CIS4 (T), CIS5, CIS5 (Partner) or CIS6.
   Reg. Card/Cert no	Enter the subcontractor's card or certificate number.
   Valid from	Enter the Valid from date on the subcontractors card or certificate.
   Valid to	Enter the Valid to date on the subcontractor's card or certificate.

4. Click Save then click Close.

TIP: To save the record you must enter either the trading name or a first name and surname. To verify the details online, you must also enter the UTR which is 10 digits long.

Your new subcontractor record appears in both the Subcontractors module and the Suppliers module. If you haven't already, your next step is to verify the subcontractor. If you did this as part of entering your CIS details, you're all set to start processing your CIS transactions. 

You can also find out more about the CIS v2 module in the CIS Help Centre.