CIS and employment status are not the same question

Employment Status Checker

Nine questions on the badges that decide it, and what the exposure is if you get it wrong. CIS registration settles whether a deduction is taken, not whether someone should have been on your payroll. On one worker at £38,000 that is £10,315 a year.

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Employment Status Checker

Being registered for CIS decides whether a deduction is taken. It does not decide whether the person should have been on your payroll, and that bill lands on you.

The strongest single pointer there is. A real right of substitution, actually used, is hard to argue with.
Small hand tools count for little. Plant and vehicles count.
Financial risk is what separates a business from a job.
Not what, or where, or when. How.
A day rate is not fatal, but it points the other way.
Mutuality of obligation. If work has to be offered and taken, that is a contract of employment.
Uniform, rotas, holiday requests and line management all point at employment.
What is at stake
£
Labour only.
%
%
The usual rate for a worker with no fixed hours.
Pointing to self-employment

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Reading
Weakest points
Employer NI not paid
Holiday pay not paid
Exposure, one worker one year
Over four years

Three things worth knowing

CIS and employment status are separate systems that do not talk to each other. Correct CIS treatment is no defence at all against a status challenge.

The CIS you already deducted is credited against a PAYE assessment. Employer National Insurance never was, which is why it is the expensive half.

There is no scoring system in law. Status is decided on the whole picture, so treat this as a prompt about where you are weak rather than as an answer.

The same questions, in a workbook

With the exposure worked out over four years, which is how far back HMRC normally goes.

Download the workbook Free Excel workbook, no signup. Current for 2026/27.

FAQs

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What accounting services do you provide?

We provide bookkeeping, VAT returns, payroll, tax filings, annual accounts, and advisory services — tailored to freelancers, SMEs, and ecommerce businesses.

Do I get a dedicated accountant?

Yes. Every client works with a named accountant who knows your business inside out. You’ll never deal with call centres — just direct, personal support.

Which accounting software do you use?

We’re certified partners with Xero and QuickBooks. Our digital-first approach means you’ll always have real-time access to your financial data.

How much do your accounting services cost?

We offer fixed monthly packages with no hidden fees. Pricing depends on your business size and the level of support you need — but you’ll always know exactly what you’re paying for.

Can you help with tax compliance and HMRC filings?

Absolutely. We handle VAT, corporation tax, self-assessments, and payroll tax. We also manage HMRC correspondence on your behalf to ensure you never miss a deadline.

Do you only work with businesses in London?

No. While many of our clients are London-based, we also support businesses across the UK and ecommerce sellers worldwide through our cloud-based systems.

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