Now is the time for taxpayers to check if their business needs to lodge a Taxable payments annual report (“TPAR”) for payments made to contractors, the ATO reminds. This applies to contractors providing the following services:
(a) building and construction;
(b) cleaning;
(c) courier and road freight;
(d) information technology; and
(e) security, investigation or surveillance.
TPARs are due on 28 August each year and penalties may apply if they are not lodged on time. Taxpayers can help prepare for their TPAR by keeping records of all contractor payments. Taxpayers that do not need to lodge a TPAR this year can submit a TPAR non-lodgment advice form to let the ATO know and avoid unnecessary follow-up.
Taxpayers can refer to the ATO’s website for more information about TPARs, including who needs to report and how to lodge.
