BUILDERS and TRADIES BEWARE!!
TAXABLE PAYMENTS REPORTING
Once again you and your industry have become targets of the ATO.
As you may be aware the ATO have introduced a NEW REPORTING requirement in respect of SUBCONTRACTORS PAYMENTS.
This will affect all those paying subcontractors, as well as the subcontractors themselves.
Anyone who pays a subcontractor must report the details of these payments by 21 July 2013. This means that your records will need to be detailed and totalled as soon as your last payments are made before 30 June 2013.
You will be required to complete a ‘TAXABLE PAYMENTS ANNUAL REPORT’ for each subcontractor. The details to go on this form are: Name, Address and ABN for each PAYEE and total amounts paid including the GST amount included in the total. The payee’s mobile phone is also required.
It is obvious that the ATO are planning to match the amount paid to subcontractors, to what subcontractors are submitting.
It is this type of cross-matching that will lead to more audits in the Building Trade and the ATO will be better armed when they conduct the audits.
With this in mind we wish to invite you and your friends and/or subcontractors to information nights in our office.
We will fully advise you on what the ATO require and will have suggestions to enable you to be properly prepared.
The ATO are not hiding from the fact that this will lead to audits, so we suggest that you get your records in order, starting NOW, so that you can report accurately and by the due date.
Please contact us to advise which evening will suit you best.
We will be running the information night on 9th October, commencing at 5.30pm.
The session will only be approximately 45 minutes with you then having time to ask any questions.
This is very important and we recommend you spend this time with us.
The following is our own power point presentation which provides a quick and easy overview regarding these new changes.
In the meantime, the following links will provide further information on specific issues with these new changes and the ATO worksheet which will assist in helping you maintain your records.
HOWEVER we should stipulate this information alone should not take the place of tailored financial advice from your own accountant.