Are you in Building and Construction

From 1 July 2012, small businesses in Australia, who are in the building and construction industry need to report to the ATO each year, the total payments they make to each contractor for building and construction services.

Businesses need to report if they:

•    are in the building and construction industry
•    make payments to contractors for building and construction services
•    have an Australian business number (ABN)     

The first annual report is due 21 July 2013 for payments made in the 2012–13 financial year. In this first year businesses that lodge their business activity statement quarterly, may lodge by 28 July 2013.

The information reported about payments made to contractors will be matched against other information held by the ATO to detect contractors who have not:

•  lodged tax returns, or
•  Included all their income in returns that have been lodged.

FWBC regulates workplace laws in the building & construction industry. FWBC does this through education, advice and compliance activities including audits and investigations.

If you’re working in the building and construction industry, you can talk to FWBC about your minimum wages and conditions. FWBC can investigate complaints about underpayments, sham contracting and any other denial of entitlements.

FWBC also provides information about the National Code of Practice for the Construction Industry. The code establishes minimum standards that businesses have to meet to be eligible to take on certain Australian building and construction projects funded by the Australian Government.

Information for contractors within the building and construction industry:

As a Small Business Advisor I recommend that if you are a contractor and you do not pay other contractors, then you do not need to do anything. From 1 July 2012, Australian Small businesses that are primarily in the building and construction industry that pay you for building and construction services will be required to report these payments to us each year. The information reported will be used for data matching to detect those contractors who may not have included all their income or lodged tax returns.

For more information contact us at: 03 9597 9966