Taxable Payment Reporting
From 1 July 2012, 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. You need to report these payments to the ATO on the Taxable Payments Annual Report by 21 July each year.
From 1 July 2012, you need to report if all of the following apply:
- you are a business that is in the building and construction industry
- you make payments to contractors for building and construction services
- you have an Australian business number (ABN).
For each contractor, you need to report the following details each financial year:
- Australian business number (ABN), if known
- name
- address
- gross amount you paid for the financial year (this is the total paid including GST)
- total GST included in the gross amount you paid.
You will need to report payments you make to contractors for building and construction services.
Building and construction services include any of the activities listed below if they are performed on, or in relation to, any part of a building, structure, works, surface or sub-surface.
- Alteration
- Assembly
- Construction
- Demolition
- Design
- Destruction
- Dismantling
- Erection
- Excavation
- Finishing
- Improvement
- Installation
- Maintenance
- Management of building and construction services
- Modification
- Organisation of building and construction services
- Removal
- Repair
- Site preparation
For more info see the <ATO-Link>.