The most forgotten step to EOFY: TPAR – Taxabale Payments Annual Report
If you are in the building & construction services, cleaning services, courier services, road freight services (new!!), IT (new!), and security / investigation / surveillance services (new!) you need to take extra special care when it comes to enlisting sub contractors because every End of Financial Year you need to submit a summary of payments made to each subbie for that year.
The number of businesses I have seen say in July, “but that subbie doesn’t work for me anymore and I can’t get a hold of them anymore,” makes me cringe when we start filling out this paperwork.
Please – if you even possibly qualify as the above (as well as any business really as its best practice) get the following details from your subbies BEFORE you pay them for the first time. Why do I say before you pay them? Well, it’s the easiest way to ensure you get these details if you say you can’t pay them until you have it (and its legally required of them to provide these details!):
- Their ABN – you aren’t done yet just because they gave you a number. It’s still on YOU to check it! Unfortunately there could be a typo or they have given you a fake one. So, CHECK IT! Do so here – it takes two seconds: https://abr.business.gov.au/
- Full Business Name (maybe just their name if they are a sole trader, but business name if they have it)
- Address – registered address. Some might get touchy on this because they say they don’t give out their home address and they don’t have an office. Answer: where does your ATO docs get mailed to? What’s your business registered address? Almost always they’ll have a PO Box or their accountants address will be applicable. If they don’t have one of these, tell them Polished Business suggests they get such an address sorted because they have to give you an address if they what to be your subbie – go ahead and give them my contact details and I’ll straighten them out 😊
- Confirm to you if they are registered with GST or not.
- Phone number – you’d think this was obvious you would have, but just write it down so its all in one spot and doesn’t matter if you lose your phone or some other catastrophe occurs
You get the above complimentary, and I’m going to even give you this amazing link:
The above is Subcontractor’s Statement which is the bare minimum you need your subbies to complete before they start work for your. If you want to make your life even easier, I have a handy one-page form for them to complete as well, which puts all their vital info in one spot – here’s a link to my shop for immediate download and you can reuse all you want.