CIS Penalties Cancelled – £10,000 Saved for Our Client
When one of our clients repeatedly failed to send over his subcontractor hours each month, we warned him that CIS penalties would soon follow. However, he continued to delay. As a result, 18 months later, he opened his post to find 82 penalty notices from HMRC, each one issued for failing to submit his monthly CIS returns on time. Altogether, these penalties totalled £10,000.
Although the situation looked overwhelming, we acted quickly. After reviewing HMRC’s actions, we found that they had not followed their own code of conduct. According to their guidelines, they should send regular reminders when penalties begin to accumulate. Because they failed to do so, we challenged the charges. As a result, HMRC agreed to remove every single CIS penalty, saving him the full £10,000.
This case highlights how crucial it is to keep up with CIS obligations. Even more importantly, it proves that unfair penalties can often be overturned when you have an experienced adviser on your side.
Moral of the story: Don’t procrastinate—CIS penalties escalate quickly, but with the right support, costly mistakes can be avoided.
How Penalties Can Spiral Quickly
Once penalties begin, they can mount month after month, especially when returns remain unfiled. Without timely reminders—something HMRC doesn’t always provide—contractors can find themselves facing thousands of pounds in CIS penalties before they even realise there’s an issue.
Avoid CIS Penalties With Expert Support
If managing CIS deadlines feels overwhelming—or if you’re worried about building up CIS penalties—now is the ideal time to get expert help. Our CIS compliance service ensures your submissions are accurate, on time and fully compliant, protecting you from unnecessary fines and giving you complete peace of mind.
Contact us today and let us take the stress out of your CIS responsibilities.