New reporting system for building and construction

New reporting system for building and constructionFrom 1 July 2012, businesses in the building and construction industry will need to report to the ATO each year, the total payments they make to each contractor for building and construction services.

Businesses are encouraged to check the way they keep their contractor payment records to make sure they have all the details required for the new Taxable payments annual report.

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

> lodged tax returns; or
> included all their income in returns lodged.

QuickBooks is set to provide the required reports, with provision for details on each supplier/contractor being adequately captured.