If your business provides any of the following services and you pay contractors to provide them on your behalf, you may need to lodge a Taxable payments annual report (TPAR):
- building and construction
- cleaning
- courier and road freight
- information technology (IT)
- security, investigation and surveillance.
TPARs help us keep things fair by making sure contractors report all their income.
On your TPAR, you need to record the:
- contractor’s name, address and ABN
- total amount you paid them for the previous financial year – including any GST and cash payments.
You can find these details on your contractors’ invoices. It’s the same information you use to claim income tax deductions through your tax return, and GST credits through your business activity statement.
The easiest way to lodge your TPAR is through your SBR-enabled softwareExternal Link or Online services for business. Your registered tax professional can also lodge on your behalf.
Penalties may apply if you don’t lodge your TPAR by 28 August.
For more information on whether you need to lodge and how to do it, visit ato.gov.au/TPAR.