Building and Construction businesses that pay contractors for building and construction services will soon need to lodge their first Taxable payments annual report with the ATO.
The first annual report is due 21 July 2013, or 28 July 2013 for businesses who have lodged their activity statements quarterly.
Businesses will need to report the contractor’s ABN, name and address, the total amount paid for the year and the total GST included in that amount.
The information reported about payments made to contractors will be matched against other information held by the ATO to detect contractors who have not lodged tax returns or included all their income returns that have been lodged.
The ATO suggests the quickest, easiest and most secure way to lodge the report is online. To do this businesses need software that can generate the annual report according to ATO requirements and an AUSkey.
