CIS subcontractor - Preparation tasks

Create a customer record for your contractor

If you haven't already, you need to set up a customer record for your contractor.

1. Click Customers then click New.
2. Enter the account details for the contractor, click Save then click Close.

That's it, you've set up your contractor as a customer.

Create a CIS tax withheld nominal code

You also need a nominal code for CIS tax liability within the Current Liabilities section of the Chart of Accounts. If you don't already have this, to create a new code: 

1. On the navigation bar click Nominal codes then click New.
2. Complete the nominal record details as follows:
   

   N/C	Enter the new nominal code number, for example, 2102.
   Name	Enter the name for the new nominal code, for example, CIS Tax Liability.

3. Click Save then click Close.

You now have a CIS tax liability nominal code which you'll use when you record CIS tax withheld. In your accounts it shows as a negative liability and is offset against other subcontractor liabilities. 

Next steps

You're now ready to record work you complete for your contractors. For help with this, click the following guides:

• CIS - Record work completed for your contractor – Standard VAT
• CIS - Record work completed for your contractor – VAT Cash Accounting