Building & construction industry: new reporting requirements
The ATO is reminding contractors in the building and construction industry to take extra care with their returns this year.
Also, businesses in the building and construction industry are now required to report to the ATO the total amount they paid to each contractor for any building and construction services in 2012/13 on a ‘Taxable payments annual report’.
Taxable payments annual reports are ordinarily required to be lodged by 21 July, but the ATO has provided a concession for taxpayers lodging via a tax agent – tax agents have until 25 August to submit the report (for this year only).
Since this new reporting regime makes it easier for the ATO to cross check the returns of contractors in the industry (whether they work for a large building company or in a smaller domestic operation), it is important that they include all income in their tax returns.
If you are in the building and construction industry and have paid contractors, and you need help to you work out your lodgment obligations. Contact your accountant or financial adviser.
Content provided by The Practice and you can contact them on (03) 8888 4000.
Written by Grant Kennedy