TPARs due 28 August – avoid these common errors

With the due date of 28 August approaching, it’s time to check whether you need to lodge a Taxable payments annual report (TPAR).

With the due date of 28 August approaching, it’s time to check whether you need to lodge a Taxable payments annual report (TPAR).

You need to lodge a TPAR for payments made to contractors who provide the following services:

  • building and construction
  • cleaning
  • courier and road freight
  • information technology (IT)
  • security, investigation or surveillance.

To make sure your TPAR is lodged on time and to avoid any penalties and unnecessary follow-up, here are some common errors to avoid:

  • Ensure the business software you use to prepare the TPAR data file generates the data in a format that can be tested and lodged via ATO online services. The ATO can’t process spreadsheets, pdfs, or Word documents.
  • Only use whole dollar amounts when reporting. Amount fields must not contain decimal points, commas, or other non-numeric characters.
  • Make sure you’ve selected the correct lodgment year. It’s possible to lodge multiple TPARs, even if a previous year has been finalised. Selecting the incorrect year will lead to reminder correspondence and possible late lodgment penalties.
  • If you changed your business structure during the financial year, make sure you lodge your TPAR with the correct ABN. For example, a supplier who previously operated as a sole trader and establishes a new company structure should report all TPAR payments this financial year under the company ABN, not the sole trader ABN.

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.

The ATO website has more information to help you understand who needs to report and how to lodge.


Source: ATO Newsroom

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