From 1 July 2012 businesses in the building and construction industry will need to report the total payments made to contractors (for building and construction services).
Details to Be Reported
You will need to report the following details each financial year for every contractor:
- Australian Business Number (ABN);
- Gross amount you paid during the financial year; and
- Total GST included in the gross amount paid.
The following payments do not need to be reported:
- Payments for materials only;
- Unpaid invoices at 30 June each year;
- Payments which are required to be reported in a Pay as you go (PAYG);
- Withholding payment summary annual report; and
- Payments made by home owners for private and domestic projects.
The first taxable payments annual report is due 21st July 2013 for payments made in the 2012-13 financial year.
What You Need to Do
It is imperative for affected businesses to set up the appropriate systems to record and report the information required. If you are impacted by these changes, we recommend reviewing your systems to ensure that you are meeting the reporting requirements.
Should you require further assistance please contact your Pilot adviser on (07) 3023 1300.