What a croc!
TPARs – Taxable Payment Annual Report
If you are in building & construction services (and a handful of other areas) you need to tell the tax office about payments you’ve made to contractors for their services.
The ATO wants to know:
-their Australian business number (ABN), if known
-their name and address
-gross amount you paid to them for the financial year (including any GST).
Contractors can include subcontractors, consultants and independent contractors. They can be operating as sole traders (individuals), companies, partnerships or trusts.
Why is the ATO asking?
Cos some operators are receiving cash and not declaring it – this gives them an unfair advantage and they can undercut the good guys (you!)
If you need to report on your subbies – its easier if you check their invoices before you pay them, so they have an incentive to give you a correct one. Chasing them by phone & text – if you can, at the last minute is a frustrating way to spend your evening.
The Taxable Payment Annual Report must be lodged with the ATO by 28th August – now might be a good time to take a look at where you’re at and whats on your feet.
Need a hand to prepare the report? Ask us to help.
