Taxable Payments Annual Report
You may need to lodg
e a Taxable payments annual report (TPAR) by 28 August each year if you are a business providing;
- Building & construction services
- Cleaning services
- Courier services
From 1/7/2019 this will also include businesses providing:
- Transport services (road freight)
- IT services
- Security, investigation or surveillance security
To work out if you need to report please visit the link below
https://www.ato.gov.au/business/reports-and-returns/taxable-payments-annual-report/work-out-if-you-need-to-report/
The TPAR informs the ATO of payments that are made to contractors for providing services. Contractors can include subcontractors, consultants and independent contractors who may be operating as sole traders, companies, partnerships or trust. The details you need to report about each contractor are generally found on the invoice you should have received from them which includes:
- Their ABN
- Their name & address
- Gross amount you paid to them for the financial year including any GST
There are 2 ways to lodge a TPAR & that is:
- Online
- Paper form
Most people who have a business are time poor & therefore the easiest way to lodge a TPAR is to have a Business software that meets the ATO specifications.
Having a software such as Xero or MYOB makes it easy to identify payments to contractors that you need to include in the report & then at the end of financial year it’s as easy as exporting in ATO Format & lodging via their online services Business Portal.
Please contact us on 08 9754 4144 if you have any questions or require help with setting up your software to capture the required information correctly.
