Bookkeepers remind on incoming TPRS obligations
With the taxable payments reporting system now set to cover five different industries, in-house and external bookkeepers have been urged to start ensuring business clients start keeping records of contractor payments.
In October, the taxable payments reporting system (TPRS) was extended to the courier and cleaning industries, with a retrospective start date of 1 July 2018.
This was closely followed by an extension to the road freight, security, investigation, surveillance and information technology (IT) industries, with a start date of 1 July 2019.
The TPRS is a transparency measure that was first applied to the building and construction industry, recouping an extra $2.3 billion in its first year of operation in 2012.
In the latest ATO BAS Agent Association Group meeting, the key message was to ensure businesses started keeping records of their contractor payments now.
“If your clients provide cleaning or courier services, even if it’s only part of the services provided, they now need to lodge a taxable payments annual report each year to tell us about their payments to contractors and subcontractors that provide cleaning or courier services on their behalf,” the group minutes stated.
The group also noted that the new online taxable payments annual report form will provide further functionality expanding the service offering, for example the ability for tax and BAS agents to see client taxable payments annual report lodgment history.
“This form will be made available to inpiduals in business via MyTax initially, then progressively being made available in the Business Portal, Online Services for agents, and third party software,” it said.
19 December 2018