Taxable payments annual report.
Taxable payments in the building and construction industry. Since 1st July 2012 businesses in the building and construction industry have been obligated to report to the tax office the total payments made to contractors for the financial year by submitting a 'Taxable payments annual report'.
Businesses in the building and construction industry need to report the total payments they make to each contractor for building and construction services each year.
This report is due by 28th August each year.
What details do I put in the report?
If you're new to the industry, details for the report should be on the invoice provided to you by the contractor. Taxable payments in the building and construction industry as a general rule we advice not to accept an invoice which does not provide an ABN. Without one you must withhold 49%.
You will need to provide details of the contractors ABN, business name, directors name, address, phone or mobile, gross amount paid including GST to the contractor for the full financial year and the total GST paid.
Keeping records for taxable payments in the building and construction industry
Ensure you record each invoice separately either manually or using your online software. Whichever way you record the information it must check correctly with your quarterly reporting. The ATO also provide a free worksheet to help you keep track.
TJD Accounting Services
319 Keilor Road