Taxable payments annual report (TPAR)
Does your business operate in cleaning, courier or building industry? As of 1 July 2018, you’ll need to record payments to cleaning or courier contractors or subcontractors, and lodge a Taxable payments annual report (TPAR) each year with ATO on an annual basis.
You may need to lodge a Taxable payments annual report (TPAR) by 28 August each year if you are a business providing:
- Building and construction services – Compliance requirement already in place. Reports are due by 28th August each year.
- Cleaning services – for contractor payments from 1 July 2018 (first report due by 28 August 2019)
- Courier services – for contractor payments from 1 July 2018 (first report due by 28 August 2019)
The TPAR tells ATO about payments that are made to contractors for providing services.
Contractors can include subcontractors, consultants and independent contractors. They can be operating as sole traders (individuals), companies, partnerships or trusts.
The details you need to report about each contractor are generally found on the invoice you should have received from them. This includes:
- their Australian business number (ABN), where known
- their name and address
- Gross amount you paid to them for the financial year (including any GST).
ATO will use this information to identify contractors who haven’t met their tax obligations.
For further assistance contact Expert Tax on 0449 952 855 or 1300 8 MY TAX (1300 869 829)
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