With the new financial year here, it’s time to check if your business needs to lodge a Taxable payments annual report (TPAR) for payments made to contractors providing the following services:
- building and construction
- cleaning
- courier and road freight
- information technology
- security, investigation or surveillance.
TPARs are due on 28 August each year and penalties may apply if they’re not lodged on time.
You can help prepare for your TPAR by keeping records of all contractor payments.
If you don’t need to lodge this year, submit a TPAR Non-lodgment advice (NLA) to let the ATO know and avoid unnecessary follow up.
You can lodge the TPAR or NLA through the ATO online services which allows you to:
- save and resume your draft TPAR before lodging
- confirm previous lodgment dates and access receipt IDs in the history section
It’s important to lodge on time, as the ATO use the reported information to:
- pre-fill information for sole trader contractors to help them prepare their income tax returns
- make the information available in the reported transactions service in ATO online platforms
- identify contractors who aren’t meeting their tax obligations.
See the ATO website for more information about TPARs, including who needs to report and how to lodge.
Remember, registered tax agents like the amazing team at Paris Financial can help you with your tax. Contact our office to have a chat!
Source: ATO Newsroom
