Does CIS apply to flooring and carpet fitting?

Carpet fitting is outside CIS, even on a building project. As of October 2026, vinyl, laminate, screeding and other floors are covered when they finish a construction project, and carpet is caught when it shares a contract with covered work.

The Construction Industry Scheme (CIS) covers work that renders complete, or finishes off, a construction project, under section 74 of the Finance Act 2004. Floor coverings fall under that heading, with one exception set by HMRC in 1981. This page follows HMRC's CIS manual, its CIS 340 guide and the 1981 statement as checked on 17 October 2026.

Why carpet is the odd one out

Until 20 November 1981, HMRC treated carpet fitting in a building specification as covered. Statement of Practice 12 (1981) records HMRC's change of view: although the point was not free from doubt, it concluded that carpet fitting, even as part of a building contract, is not an integral part of construction work or for rendering it complete. Since then HMRC has treated carpet fitting as outside the scheme.

HMRC's manual is clear that this applies to carpet and no other floor covering. Carpet tiles are excluded too. GOV.UK lists carpet fitting among the jobs that do not need CIS registration, if that is all you do.

Synthetic sports surfaces do not count as carpet. The manual tells HMRC officers to reject claims that artificial surfaces in sports grounds and gyms are carpeting, because the 1981 statement was meant for things within the ordinary meaning of the word carpet.

Other floors depend on the project

For every other floor covering, the question is whether there is a wider construction project. HMRC's manual says fitting carpets, linoleum, vinyl sheeting and other floor coverings is not a construction operation when done in isolation. It can be one when the floor covering is in the specification for a building being built, altered or repaired, because the flooring then finishes off that work.

HMRC's list of finishing operations includes screeding and fitting flooring and floor coverings, such as vinyl and linoleum, where they form part of the building specification. The same list includes tiling, and CIS 340 includes the construction of concrete and marble floors. On the other side, the manual excludes fitting vinyl and other floor coverings in premises not undergoing construction or alteration, and CIS 340 excludes making and delivering flooring materials.

Flooring jobs, in or out

When carpet is caught

HMRC's own example of a mixed contract is a subcontractor who has to fit laminate flooring and carpet under a single contract. Because the laminate is covered, every payment under that contract is covered, including the carpet.

What matters is the contract, not the invoice. HMRC's manual says that splitting the covered and uncovered parts of one contract into separate invoices does not take any of it out of CIS. A contract for carpet alone stays outside.

What this means for you

A carpet fitter who only fits carpet is outside CIS on every job. A general floor layer is likely to be inside on some jobs and outside on others. Laminate in a new-build estate for a developer is covered; the same laminate in an occupied flat with no other work going on is not. A homeowner paying you direct is not a CIS contractor in any case, as the homeowner guide explains.

If you do any covered flooring work for builders or developers, register as a subcontractor so that deductions are taken at 20% rather than 30%. The registration guide explains who must register, and the guide to what work is covered by CIS covers the other trades.

Steps to check a flooring job

1. Ask who is paying you. A private homeowner paying direct is not a CIS contractor.
2. Check whether the job is part of a building being built, altered or repaired, and whether the flooring is in its specification.
3. If the contract is for carpet or carpet tiles alone, it is outside CIS.
4. If one contract mixes carpet with laminate, vinyl, screeding or other covered work, treat every payment under it as covered.
5. On covered jobs where you supply the flooring, show the materials cost on your invoice so the deduction is taken only from the labour.
6. Keep each monthly payment and deduction statement, and record CIS and non-CIS income separately.

The free MTD check shows when Making Tax Digital starts for you, and the trades section has more guides on CIS.