Construction Industry Scheme (CIS) Under the Construction Industry Scheme (CIS), contractors deduct money from a subcontractorâs payments and pass it to HM Revenue and Customs (HMRC). The deductions count as advance payments towards the subcontractorâs tax and National Insurance. Contractors must register for the scheme.
Depreciation and Amortization. Not all G&A expenses represent cash leaving the company. Depreciation and amortization expenses are a result of the matching principle of accounting. This principle tells us that we should match the costs of producing revenue to the period when the revenue is produced.
If issued at a premium, the company pays less at maturity relative to the issue. price. The company records this adjustment to the cost as bond interest expense over the. life of the bonds through a process called amortization. Amortization of a discount. increases bond interest expense. Amortization of a premium decreases bond interest. expense.